‘UK cuts won’t produce savings’

The National Audit Office (NAO) criticised the Treasury for relying on short-term spending cuts and said the government now needs to overhaul itself to operate at lower cost in the long run.

According to the NAO, measures, including freeze on public sector pay, controls on buying equipment, and bans on the use of temporary staff and outside consultants introduced since 2010, should be replaced by more permanent measures.

“[the government is not] well placed to meet the forthcoming challenge of continued fiscal consolidation alongside substantial demand pressures,” the NAO added.

British Chancellor is looking to find £11.5 billion in savings before making his Spending Review announcement on June 26. This comes as the curbs on the seven departments could only cover £3.5 billion of the defined target.

MOS/HE

Source Article from http://www.presstv.ir/detail/2013/06/13/308824/uk-cuts-wont-produce-savings/

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