Mark Whitehead 01 October 2018

Labour warn of £2.7bn NHS cuts due to pension bungle

The Government is planning to make £2.7bn of further cuts to the NHS before next election because of a bungle over pensions, according to the Labour Party.

It says new analysis from the House of Commons library shows the shortfall is the result of a Government 'miscalculation' which underestimated the pension costs of all public sector workers by as much as £4bn a year.

The Government has offered to cover departments’ additional costs for one year only, leaving the NHS to meet up to two years’ worth of additional pension costs totalling £2.7bn before the next election.

Labour says this is the equivalent of the salaries of 61,912 nurses.

The party says it is the second time that the Government has asked departments to make cuts to cover a mistake in pension calculations.

Labour says the initial announcement was 'snuck out' in a statement late on a Thursday when Parliament was not sitting, meaning that billions of pounds in further austerity measures have not received parliamentary scrutiny.

Peter Dowd, Labour’s shadow chief secretary to the Treasury said: 'The Chancellor must immediately own up and commit to meeting these extra costs, not just push them on to slashed and struggling public services.’

A Government spokesperson said: 'We are giving the NHS the funding it needs to meet growing pressures and deliver the world-class care that we all want and expect.

'Under our plan, the NHS will receive increased funding of more than £20bn per year by the end of 2023/24. We will also provide an additional £1.25bn each year to cover rising pensions costs for NHS staff.'

SIGN UP
For your free daily news bulletin
Highways jobs

Social Worker

North Yorkshire Council
From £38,220 to £42,839 per annum + relocation support
North Yorkshire Council’s Family Assessment and Support Team is looking for Social Workers to join their Scarborough Teams. Scarborough, North Yorkshire
Recuriter: North Yorkshire Council

Tutor

Essex County Council
Up to £30377.00 per annum + Pension
TutorPermanent, Part Time£30,377 per annum full time equivalent Location
Recuriter: Essex County Council

Leaving Care Case Worker

North Yorkshire Council
From £34,434 up to £38,220 per annum, pro rata
Are you passionate about supporting care experienced young people? Scarborough, North Yorkshire
Recuriter: North Yorkshire Council

Registration Officer/Deputy Registrar of Births Deaths and Marriages

The Royal Borough of Windsor & Maidenhead
£24,895 - £28,132 per annum (£14,130-£15,967 per annum pro rata based on 21 hours)
We have an exciting and rare opportunity to join us as a Registration Officer/Deputy Registrar! Maidenhead, Berkshire
Recuriter: The Royal Borough of Windsor & Maidenhead

Refuse Loader

North Yorkshire Council
£24,796- £25,989 per annum
We are looking for a Refuse Loader to join our depot in Scarborough. Scarborough, North Yorkshire
Recuriter: North Yorkshire Council
Linkedin Banner