BURSTChancellor due to speak at hospital event this morning as cabinet ministers have been asked to seek 5% efficiency savings in their departments
Good morning. Today is the launch of the spending review. And the prime minister has been writing about the process.
Every secretary of state inherits dozens of projects and priorities from his or her predecessor, and a huge quantity of government activity is therefore being carried out even if it is no longer necessary or relevant. In one of my very first cabinets, I told them all to go through their budget lines and cut at least 5%. ‘It’s time to slaughter the sacred cows,” I said.
Secretaries of state across government will need to allocate their budgets to ensure that government spending is focused on the prime minister’s Plan for Change, and that every pound of taxpayers’ money is spent well. The chancellor will work with departments to prioritise spending that supports the milestones to deliver the plan …
In letters sent by the chief secretary to the Treasury, departments will be advised that where spending is not contributing to a priority, it should be stopped. Although some of these decisions will be difficult, the chancellor is clear that the public must have trust in the government that it is rooting out waste and that their taxes are being spent on their priorities.
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