Government departments face deeper budget cuts from 2015

WHITEHALL departments will face £11.5bn of cuts to their budgets for 2015-16, it was confirmed yesterday.

This is up from the original plan to cut £10bn from current spending levels over the next two years.

Ministers will find out whether their department will be hit by the cuts in the next comprehensive spending review on 26 June.

“We’ve got to go on making difficult decisions so Britain can live within its means,” George Osborne said yesterday.

After Osborne had delivered his Budget Treasury sources suggested that the welfare spending is considered a likely target for raid on spending,

Earlier this week the chancellor said the majority of departments face cuts of one per cent for each of the next two years, although the schools, NHS and overseas aid budgets will be protected. The local government and police budgets have also received partial exemptions.

Together these account for a substantial proportion of total central government spending, meaning other departments will have to bear the brunt of the new cuts.

Business secretary Vince Cable has previously voiced his opposition to the policy of ringfencing certain aspects of state spending.