Shortly after the 2010 general election I attended an event where mandarins complained of ‘swingeing cuts’. Then one NHS boss admitted that he had so much cash sloshing around he was having trouble spending his multi-hundred million budget. Local government, which accounts for one quarter of government spending, has the same mindset.
Despite the rhetoric of cuts, little has actually changed. I have watched Sir Humphrey Whitehall and local government (both as a private contractor and as a councillor), and each year we witness a rush before the financial year ends to spend money which, if cuts were actually deep, would not exist. Fraser Nelson spelt out this reality before the budget. Public spending increased by sixty per cent during the last government. Since 2010 spending has been cut by just three per cent. Sir Humphrey sits on the sideline like a Wimbledon umpire while each side calls for tax hikes or welfare cuts.
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