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Questions raised about public sector spending cuts

4 November 2010
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Questions raised about public sector spending cutsReductions to public sector expenditure planned by the government may not be achievable, a group of MPs claims.

The House of Commons Public Accounts Committee notes that proposals to deliver £81 billion in cuts following the Comprehensive Spending Review (CSR) may be on too great a scale.

A report by the parliamentary spending watchdog suggests £15 million out of a planned £35 million worth of savings were achieved during the first two years of a three year scheme to deliver efficiency savings.

"The results from this programme left us with grave concerns as to whether departments are ready to implement effectively a programme of value-for-money savings," it states.

However, the chancellor has dismissed claims that the cuts are not possible to achieve during an appearance before MPs on the Treasury Select Committee.

George Osborne stated that the government remains committed to reducing waste within the public sector, something that operations management practices could assist with.

He announced cuts to Whitehall budgets on October 20th as he presented the conclusions of the CSR.ADNFCR-3058-ID-800217670-ADNFCR
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