DEFRA Secretary Caroline Spelman gave evidence to the Environment, Food and Rural Affairs Committee on 30 March 2011 on the impact of the Spending Review on the department.
The review was announced by Chancellor George Osborne to the House of Commons on 20 October 2010 and included an average cut of 19% in departmental budgets over four years.
Mr Osborne has stated that the aim of the review is to eliminate the UK's budgetary deficit by 2015.
The government intends to meet this target through cuts of around £7bn to the welfare budget, and by the axing of around 490,000 public sector jobs.
Defra has been asked to reduce resource spending by 29% and capital spending by 34%.
The Department's Administration budget will be reduced by 33%.
£2bn is to be spent on flood defences by 2015, but the department will cut the number of arms length bodies funded from 92 to 36.