Tuesday, 29 November 2011

The Government's Autumn Statement Spells More Misery for Public Sector Workers

Some key points identified by the BBC:

Public Sector pay awards will be set at an average of one per cent for each of the two years after the current two year pay freeze comes to an end next year.

The Government will not go ahead with the planned £110 above inflation increase to the child element of the Child Tax Credit and will not uprate the couple and lone parent elements of the Working Tax Credit in 2012–13.

The rise in the state pension age to 67 will be brought forward to 2026 from 2034.

Economic growth for 2011 has been revised down to 0.9% from 1.7%.  Growth in 2012 is now expected to be 0.7% down from 2.5%.

The Office of Budget Responsibility forecasts total public sector job losses up from 400,000 to 710,000

An additional £100 billion in government borrowing will be needed over the next four years.

For more key points from the Autumn Statement visit the BBC's quick guide here.

Read the case studies of local government workers on page 6 and 7 of the trade unions local government pay claim released at the end of October 2011. The government's Autumn Statement offers no relief. Click here to view. (The report is contained in a pdf of approximately 1 MB).
 

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