Downing Street Says » Spending Review

» Tuesday, January 22, 2013

Spending Review

The PMS provided a readout of the Cabinet meeting held that morning. The Chancellor and Chief Secretary had looked ahead to departmental budget setting for the financial year 2015/16. It was important that departments stepped up their engagement with the Treasury and the Efficiency & Reform Group. Departments needed to do more with less and investigate how to reform public services and share back office functions. Spending on health, schools and ODA would be protected from further reductions, in line with the policy set at the Spending Review 2010. Asked why the defence budget would not be protected in light of recent events, the PMS said that defence would remain a very large part of Government expenditure and the SDSR had set out a very clear plan for highly capable and flexible armed forces. The Government was not flinching from the fact that very difficult decisions would have to be taken.

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