The Staggers

The New Statesman’s rolling politics blog

Osborne takes an axe to the public sector

710,000 public sector jobs will be cut by 2017, up from previous estimate of 400,000.

By George Eaton Published 29 November 2011 15:35

Despite lower growth and higher unemployment, George Osborne is still on track to eliminate the structural deficit in five years' time. Here's one reason why. The Office for Budget Responsibility now expects 710,000 public sector jobs to be lost by 2017, a dramatic increase on its previous forecast of 400,000 (see box 3.6 on p. 95 of the OBR document).

The OBR notes that this is primarily because of "the additional spending cuts pencilled in for 2015-16 and 2016-17". Just a day before the strike, the government has dramatically raised the stakes in its confrontation with the public sector.

Unemployment is now expected to peak at 2.8 million (8.7 per cent) in the final quarter of 2012, before falling back to 6.2 per cent by 2016.

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Tags: OBR George Osborne

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7 comments

Tue, 2011-11-29 16:31 — Leedsnil

What he is doing has parallels with the 1980s. The industrial muscle of the miners was neutered by the simple expedient of obliterating their industry. Similarly, the public sector is to be obliterated to break the last stronghold of organised labour in the Uk. By abolishing TUPE - also flagged today - a Tory majority government will be able to sack the troublemakers and outsource much of the remaining workforce to private employers.
It's masterly. They say Osborne's a shrewd political operator and they are not wrong. Labour, comedically useless as ever, will sit on its hands while this happens lest Paul Dacre says something nasty about them.

Wed, 2011-11-30 19:17 — matthew fox (not verified)

Luddite, you have found another soulmate on the NS website, congratulations.

Tue, 2011-11-29 19:32 — Mark Allan (not verified)

Thank God they can't abolish TUPE,that's a Euro directive.
Now where are all those unemployed public sector workers going to find a job. Why,in the booming private sector of course! Yeah,right!
Can't see any of those millions of jobless going on spending sprees to create the demand that fuels the growth,can you?
They've made a bad situation ten times worse.
But then they must know what theyre doing,they're the Govt after all. They're supposed to be the clever ones!

Wed, 2011-11-30 08:12 — Awake!

yes it's ten times worse mark Allan.
Well, not than the rest of europe bar germany. They have 20% unemployment, but it's worse here. they have 45% yoiuth unemployment, but' it's worse here.
They pay 3.5 times MORE to borrow, but it's worse here.
Yes it's going to be tough, so man up and quit crying like a baby girl... u think the miners in the eighties woud even spit on the cry babies in this site... fucking wimps and the pain hasn't even started, ther's no fighting stock here that's for sure.
Yes, let's all have a panic now that'll help... fekkin losers.
Seriously considering UKIP, bored of sitting with the girls...

Wed, 2011-11-30 09:34 — Luddite (not verified)

Leedsnil: Didn't the unions also play their part in the demise of British industry!! The public-sector are making the same mistakes as their counterparts in industry.. You can't piss in the wind and not expect to get wet...

Mark Allan
29 November 2011 at 18:32
"Thank God they can't abolish TUPE,that's a Euro directive"...

Asked yourself a question why is unemployment so high in Europe.

Wed, 2011-11-30 09:50 — media

Fight back with cartoons
http://occupylondon-withcartoons.org/

Wed, 2011-11-30 11:52 — Leedsnil

Re: abolishing TUPE, Toynbee in the Guardian also alludes to this today; it will happen.
Luddite, you are well named, being stuck in the dark ages, and your lack of articulacy is poignant. You and similarly witless apologists for late capitalism should go and read a few books about how capitalism actually works, if you are able to do so without moving your lips.