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Politicians on all sides, along with other organisations, are calling for cuts in public spending in a bid to pay off Britain's record national debt. Here is what they have said so far about where they want the axe to fall.
PUBLIC SECTOR PAY AND PENSIONS
The Liberal Democrats propose
freezing public sector pay
and reforming public sector pensions. The party's Treasury spokesman Vince Cable says zero overall growth for public sector pay is worth £2.4bn a year, and a 25% cut in the total pay bill of staff would earn more than £100,000 a year. Mr Cable also argues that higher employee contributions to pensions and later retirement ages are required.
DEFENCE
The Lib Dems are the only party to say they would
axe plans to renew the nuclear Trident missile system
which they claim could save £70bn over 25 years. Mr Cable has also outlined proposals to scrap other big defence projects, like the next stage of the Eurofighter aircraft. Meanwhile, campaign group Greenpeace argues
scrapping Trident would save £34bn
, but the government estimates replacing the submarines and warheads would cost £15bn - £20bn. Defence Secretary Bob Ainsworth has hinted at
"major shifts" in defence spending
as the government prioritises resources for the war in Afghanistan. He has urged a "wide-ranging" debate about future priorities but has not said what might be squeezed. On Trident, Mr Ainsworth says the UK will "stick" with its seaborne nuclear deterrent but will look at its costs.
SOCIAL WELFARE
The Conservatives and Lib Dems suggest some benefits might have to be cut to reduce spending cuts in other departments. They say better-off families with children should not be able to claim tax credits. Lib Dem leader Nick Clegg has spoken of
removing family tax credits from higher earners
in order to widen access to childcare and increase school spending for the poorest. Currently, Child Tax Credit is paid to families with children with a combined income of up to £58,000.
HEALTH
The Lib Dems say they will save £500m a year by
slashing spending on NHS quangos and capping the pay of health service managers.
The party's proposals would see strategic health authorities scrapped and the Department of Health downsized. The government, meanwhile, has rejected advice from management consultants to
cut the NHS workforce in England by 10%
over the next five years. The plans to close 137,000 clinical and administration posts were proposed by McKinsey and Company to save £20bn by 2014. Gordon Brown has insisted
hospitals will be protected from cuts.
"We want to get resources to the front line, to the police, hospitals and schools," he told the BBC in July. The Conservatives have promised not to cut health spending in real terms over a three year period.
EDUCATION
The Confederation of British Industry wants to see
university students in the UK pay more for their loans
and accept higher tuition fees to tackle funding deficits. This would mean reducing subsidy on student loans, more means-testing of support and the hiking of tuition fees above the current levels of £3,225 per year in England and Northern Ireland and £1,285 in Wales. Schools Secretary Ed Balls has suggested education spending could be cut by £2bn by
axing thousands of senior staff
and through "discipline" over pay. He also told the Sunday Times another option was to merge comprehensives to form "federations".
BUREAUCRACY AND QUANGOS
The Conservatives have pledged to to
end MPs' subsidised alcohol and food and reduce ministerial salaries
if they win power. Leader David Cameron has admitted it will amount to only a "pinprick" in overall savings needed - but says politicians have to take a lead in bearing the "burden" of debt. He has also promised to review plans to decentralise power and review quangos.
ID CARDS
The Conservatives and Lib Dems have both said they will scrap ID cards. Shadow home secretary Chris Grayling has
described the government's plan for national ID cards as a "scheme without a purpose"
, which will not tackle crime or terror. Vince Cable also proposes
scrapping several major IT projects, including the ID card scheme
and NHS computer plans.
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