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NHS should 'share burden' of spending cuts


NHS spending should not be protected from the impending budget cuts that will affect the rest of the public sector, a think tank has said.

The Adam Smith Institute has called on the government to reduce its spending by £90bn by 2015, and says that the NHS should share the burden of these cuts.

Chancellor George Osborne is due to put a figure on the overall reduction in the government’s £670bn annual expenditure needed to repair the hole in Britain’s public finances when he delivers his emergency budget on 22 June.

But Prime Minister David Cameron has already committed the government to defending the NHS, along with schools and overseas aid, from cuts, and few commentators expect the axe to fall as heavily as today’s report recommends.

The Party is Over - A Blueprint for Fiscal Stability argues that the government should eliminate Britain’s deficit over the course of this Parliament in order to avoid a Greek-style collapse in confidence.

Author Nigel Hawkins calculates that this would involve reductions in public spending of 3% a year across all Whitehall departments over the next five years - equating to around £20m a year.

He argues that no budget should be ring-fenced and that even the health budget should be subject to an annual reduction of around 2% a year. Further cuts would have to be made within the current year, beyond the £6bn already announced by Osborne, in order to reach the goal of eliminating the deficit.


Readers' comments (4)

  • I thought I heard some cobs wollop in the 80's under thatcher, but this really does take the biscuit... The ConDems have really conned the public. There will be a report out on Monday, and it is expected to show that David and Nick Cameron-Clegg are stretching the truth a bit. Yet another step towards privatising the NHS under the tories, and will show the Lib Dems their true colours!!

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  • You been locked up in a penal colony somewhere in south america for the last 13 years? Privatization of NHS services has fully matured since the tories were last in government. PFI, private insurance companies bidding and running primary care services, homecare.......Ring any bells?

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  • if any more nursing jobs are cut in my trust then the management are going to have tpo roll up their sleeves and get working.

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  • To Anonymous 27 - June. You are correct in a way, because the last Labour Government wanted the Private Sector to cooperate with the NHS, however, what they failed to do was remove the managers that have the mentality of the Thatcher era.

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