Public Spending Cuts: Much Needed Suregery

I live in the UK which is currently undergoing the largest cuts in public spending since 1980s. Despite supporting the Labour Party however, I find myself dismayed at how the left refuses to support any cuts in public spending or offer any alternatives for how the country should deal with its £124 billion deficit and the £1 trillion of national debt.

The current plan for deficit reduction under the Conservative/Lib Dem coalition aims to cut £81 billion by 2015/16 (starting from 2010) which includes:

Department: Business, Innovation and Skills
Annual budget: £21.2 billion
Cuts: 25%, around £5.3 billion

Department: Communities and Local Government
Annual budget: £33.6 billion
Cuts: 25%, around £8.4 billion

Department: Education and Skills
Annual budget: £57.6 billion
Cuts: 10%, around £5.8 billion

Department for Energy & Climate Change
Annual budget: £3.1 billion
Cuts: 25%, around £0.75 billion


Department: Home Office
Annual budget: £10.2 billion
Cuts: 25%, around £2.5 billion

Department: Justice
Annual budget: £9.7 billion
Cuts: 25%, around £2.43 billion

Department: Transport
Annual budget: £13.6 billion
Cuts: 25%, around £3.4 billion

There are also cuts being made in defense with:

• 5,000 RAF personnel cut.
• 5,000 Navy personnel cut.
• 7,000 army personnel cut.
• 25,000 civilian MoD staff cut.

Also, though the health budget has been ring fenced from cuts, it is expected to make around £20 billion in saving. It is also estimated that all of the cuts will cause anywhere between 500 000 to 1 million job loses in the public sector. All of this combined with a rise in the cost of living with action such as increasing the amount of VAT and most damning for me, rise in university tuition fees.

Now, on the outset, this looks terrifying. However, I would argue it is necessary. If we do not deal with our deficit, we are at risk of loosing our triple AAA credit rating, which would hike up our cost of borrowing plunging us further into debt to the point where we could possibly default as we nearly saw in Greece. This would then call for deeper, and harsher cuts. Many will argue though, that we can deal with our deficit while increasing public spending as the correct investments will help stimulate growth and thus bring more revenue into the country. This is certainly a fair assumption, however it still neglects the fact that this would be serviced with substantially more unsustainable debt.

Though I agree with the government current strategy, I feel I must point out that I do agree that a lot more can be done to ensure these cuts are fairer. This feeling has without a doubt strengthened following the recent budget announcements. One area I would like to see cuts in is government salaries, slashing the pay of MPs who earn £65K and of Ministers who earn £100K.

So, what do you think? Do you agree with that despite the pain and hardship, we will have to accept this burden for the survival of the country? Have I been brainwashed by right wing media? Or is there another alternative method that has not been raised?

TL#DR: Lots of cuts happening. I think they're needed because of our deficit and debt, others think there are better solutions. What is your opinion?

(Oh Shit, title is wrong )

Personally, I think that Tories don't have a fucking clue what they are doing because they are detatched from the reality of the vast majority of families. How, on Earth, they think taking away jobs is going to benefit the economy in the slightest is beyond me.

As I mentioned though, without making savings in public finances we will be forced to pay higher interest on our borrowing making it even more unsustainable. It is a larger burden to bare, but one this country needs.

500,000 to 1,000,000 jobs being cut in the public sector is an enourmous number that will have many effects. They will have to pay benefits to the families, who in turn will consume and buy less. Essentially, although I am no master economist, I think that the cuts will probably lead to more deficits due to the fact that they collect less tax and less duties etc etc. I agree some cuts might me necessary but at the rate and magnitude at which they are being undertaken it is just far too much.

Alongside the governments cuts however, is a plan for the private sector to create jobs. Though certainly this hasn't been successful as of yet considering that we have 2.65 million people unemployed, over the next couple of years we are estimated to have our economy growing annually by 2%, thus creating jobs.

Well if you are losing up to a million jobs in the public sector, I don't know how in the world you will come anywhere close to creating that many jobs in the private sector. The Tories sound like the republicans: stupid.

I agree that the expected number is far too high. think a much better solution would be lowering salaries before making people redundant.

... wow. I've heard that the Tories were like the Republicans. But this by far has taken the cake... the only thing the list needs now is for them to be oblivious to any and all logic and reason save for their own.

The Tories can fuck off! My parents work in job centres, they have had their pay frozen, their pensions cut and will have there wages cut in-line with that of the private sector. I will point out that I live in Stoke-on-Trent, and we have been hit really hard, so our private sector is almost non-existent, this would mean their wages would be fucking nothing. Also any hope of regeneration and building an better part of the city has been stopped by the tories, so no increase in private sector jobs. So the area hardest hit will end up worse off, Wow reminds me of the American "education" system. What we need are public work programs and community service!
If the tories keep ignoring the medical and public sectors then they will have a full scale strike on their hands again!

It is time the Tory scum started paying attention to the North of England.

Independant North!

This is what annoys me about the debate of cuts in public spending, it becomes partisan. Yes, these are controversial decision that will affect million of people, but the left seems to ignore the fact that we cannot go one spending and offers no alternative to how to make cuts fair.

Don't get me wrong, I support Labour, but there really needs to be a change in the way we talk about this issue.

What the fuck does this have to do with the American education system?


edit:

The whole reason the US got out of the Great Depression was through spending.

... its called Damned if you do, Damned if you don't if I'm not mistaken.

You're calling labour left?!?!?
Please, they haven't been left since the right shift after Margaret Thatcher *Spits. We need some real left policies, legalise cannabis, tax it and run it by the government, tabbaco Tax, alchohol Tax, rich Tax, private Eduction and Medicine SUPER TAX!

Oh and everyone completely ignores my first post.

It was the fact that it makes no sense.

I didn't ignore it. I asked you whhat this had to do with the American education system.

Yes, but as far as I know countries during the Great Depression did not face huge budget deficits or national debt.

The US was in a huge debt. Britain was in a huge debt from World War I. Hell, I don't think Britain finished paying back their debt from World War I to the US until the 90's...

Correction I don't think we have still payed them off.
Any way why the hell are we still paying this?!
Can't we just shove two fingers up at the American government and not pay?
Seriously what would they do, invade their ally?

Well when you borrow money, you have to pay it back...

Also, yes you guy did pay back your world war 1 debts. Your WW2 debts are a totally different story.

So your saying if we don' pay then America will invade?
I wouldn't pay it!

I believe triple A could downgrade your credit rating. Which is bad.