New £2bn cut to public services attacked by Liberal Democrats

Hidden in the Chancellor’s Budget was a backdoor £2bn cut to public services.  This cut has been attacked by Liberal Democrat Education spokesperson John Pugh.

 

Plans to reduce the public service pension scheme discount rate will raise the Treasury around £2bn from 2019/20.

But this means that public sector employers, such as the NHS, schools and local councils  will have to make up the shortfall in pensions contributions – hitting their budgets.

Commenting, Education spokesperson John Pugh MP said:  “Public services that we all rely on can only function if they are properly supported and funded. This Government has already failed to protect the schools budget, is stretching the NHS and has now burdened public sector employers with finding another £2bn for pension contributions.

“The Chancellor is choosing to pursue an overall budget surplus, even though it is not necessary and means more cuts. He says we can trust him with the economy, but he is risking the future of services we all rely on.”


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