Laura Sharman 21 March 2016

Pension reforms will see '£650m stealth cut' to public services

Changes to public sector pensions, announced in last week's Budget, will see hundreds of millions cut from front line public services, according to research from the Liberal Democrats.

The analysis found that while plans to reduce the public service pension scheme discount rate will raise £2bn for the Treasury by 2020, the cost of administering the changes will be passed directly to employers.

The NHS alone will be left with unbudgeted costs of around £650m, while schools will be faced with £426m of costs.

Liberal Democrat leader Tim Farron said: 'David Cameron said he would do whatever it takes to fill the NHS black hole, and we've now discovered that actually means cutting £650m just to help the chancellor's budget-day balance sheet.

'George Osborne cannot pull the wool over people's eyes. Choosing to ask schools, hospitals, and forces to pay £2bn extra in pension contributions has a real cost, and vital services will have to pick up the bill.'

SIGN UP
For your free daily news bulletin
Highways jobs

Enhanced Social Work Practitioner

Durham County Council
Grade 12 - £44,075 - £48,226 per annum. Pay award pending.
Do you believe every child deserves to grow up surrounded by love, family, and a sense of belonging?   Are you an experienced social worker ready to p Durham
Recuriter: Durham County Council

Principal Accountancy Assistant

Durham County Council
£38,220 to £41,771 p.a. (Grade 10) Pay award pending
We are currently recruiting for two Principal Accountancy Assistant positions, one of the posts is within the Financial Technical Accounting Team, sup Durham
Recuriter: Durham County Council

Lecturer in Health, Care and Education

Durham County Council
Grade 9, £35,412 - £39,152 pro rata per annum. Pay award pending.
We are looking for an enthusiastic and dedicated Lecturer with experience in Health & Social Care and Education who is passionate about helping adults Durham
Recuriter: Durham County Council

Care Support

Durham County Council
Grade 4 £25,583 - £26,824 pro rata pa. (Pay award pending).
We have an exciting opportunity to join our Pathways Service, which delivers high-quality day services for adults with complex needs, Monday to Friday Spennymoor
Recuriter: Durham County Council

School Driver

Durham County Council
£24,796 pro-rata
Fixed Term Contract until 31 August 2027 Part-time - 7.5 hours per week- 7.15am – 8.45am Monday to Friday. Term Time Only Required to start 1st Septem Durham
Recuriter: Durham County Council
Linkedin Banner