Public sector job cuts could hit 750,000
As we approach voting day in the general election there are concerns that no matter which party wins the election we will see potentially 750,000 job cuts in the public sector. This despite the fact that all three of the main political parties have been unwilling or unable to put a figure on potential job cuts in the public sector but many Think Tanks have issued their own reports.
A potential loss of 750,000 jobs in the public sector, on top of more job cuts in the private sector, could see UK unemployment push through the 3 million barrier during 2010. This will have a major impact upon the UK economy, the ongoing recovery and public services in the UK for many years to come. Not only will we see a major reduction in tax receipts for the government but there will be more welfare benefit payments making it very difficult to reduce the budget deficit without major cuts in the public sector.
While many people believe that the UK economy may be over the worst there is no doubt there is more pain to come in the short to medium term. UK finances are still struggling, the cost of debt in Europe continues to rise and UK unemployment could become a major problem.
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