Spending Review - Cuts breakdown affecting horticulture

We will be updating this article with announcements during George Osborne's Spending Review address to parliament today as well as bringing you reaction from horticulture industry organisations and insiders.

Total structural deficit is £109bn - to be eliminated by 2015. (interest payments currently £120m a day.)

Estimated 490,000 public sector job losses over four year period.

7.1% a year cut to local authorities for 4 years, but ring fencing of funding to end except schools and public health

Retirement age to rise from 65 to 66 by 2020.

See a copy of the full Spending Review Document.

Cuts by department:



Cuts so far:

£74m cut from Regional Development Agencies.
Lord Browne has recommended a removal of the cap on University fees with higher education losing £200m through efficiency and modernisation measures.

Announced today

50% increase in Apprenticeships helping 75,000 new apprentices a year by the end of 2014-15 - however unclear whether funding will extend to the over 24 year olds.

However in the full document it says:
"In further education, individuals aged 24 years and above wishing to gain a level 3 qualification (A-Level equivalent) will be supported by the offer of a Government backed student loan to meet tuition costs. Loans will be available to learners with repayment on an
income contingent basis."

Train to Gain abolished.

£1 billion for green investment bank

The science budget is to be frozen in cash terms, rather than cut - means 10% reduction in real terms according to BBC analysis.


"The Department for Transport (DfT) settlement includes:

  • £14 billion of funding to Network Rail to support maintenance and investment, including major improvements to the East Coast Mainline, station upgrades, at Birmingham New Street and network improvements in Yorkshire, around Manchester and the Barry to Cardiff corridor;
  • over £10 billion for maintenance and investment in key road and local transport schemes across the country, including work on the A11, M4/M5, M1, Midland Metro, Tyne and Wear Metro and construction of the Mersey Gateway;
  • funding to enable Crossrail to go ahead, and to support £6 billion of capital expenditure by Transport for London (TfL) to maintain and upgrade the London Underground network.

"Investments of high economic value are protected across all types of transport. The capital allocation has been relatively protected; in 2014-15 DfT capital investment will be higher in real terms than in 2005-06. This includes over £10 billion over the Spending Review period for maintenance and investment in key road and local transport schemes,2 including widening the
remaining section of the A11 to provide a continuous dual carriageway link between Norwich and the M11, improving the junction between the M4 and M5, easing congestion on the M1 between junctions 28 and 31, route extension and capacity increases on the Midland Metro, upgrades to the Tyne and Wear Metro and constructing a new suspension bridge over the River Mersey3 (the Mersey Gateway) while seeking significant cost reductions across the programme."



Cuts so far:

Local Authority 'Leaders boards' which coordinate planning across regions, and RDAs have been scrapped.

Council funding for transport projects, new homes and education has been cut by £1.1bn.

The social housing budget has been cut in half.

Announced today:

7.1% a year cut to local authorities for 4 years, but ring fencing of funding to end except schools and public health.

There will be "significant devolution of financial control to councils, by removing ringfencing around all revenue grants except simplified school grants and a new public health grant, the number of separate core grants simplified from over 90 to fewer than 10, and more than £4 billion of grants rolled into formula grant."

And "overall resource savings in Local Government DEL to councils of 28 per cent over the four years."

155,000 affordable and social homes to be built.



Cuts so far:

Environment secretary Caroline Spelman has agreed to make £162m savings through cuts to staff and rural development agencies and IT efficiencies.

Rumoured to be considering selling off nature reserves, privatising parts of the Forestry Commission.

Announced today:

Defra budget will be cut by average 8% a year during CSR period - 32% over four years.



Cuts so far:

£25m Stonehenge visitor centre project cancelled as part of a £6.2bn savings round.



Cuts so far:

Some 700 Building Schools for the Future projects scrapped.

Playbuilder scheme grants frozen for 132 councils.

Announced today:

Although BSF phased out £15.8bn will be spent to maintain schools estate.



Cuts so far:

Of £85m cuts, £4.7m is to be saved by cancelling final funding rounds of the Bio-Energy Capital Grants Scheme and Bio-Energy Infrastructure Scheme.

Reduction of £12m in Grant for the Carbon Trusts low-carbon technology and business support funding.




Andrew Fisher Tomlin's Adventures in Designland blog

What Spending Review - "We'll be relying on volunteers for our public parks within the year. I had dinner at the House of Commons last night and there was a palpable sense of doom."


Sid Sullivan - A day in the life blog

The ‘Spending Review’ Requires you to Put Strategy before Practice if you are to Succeed

"To take advantage of the outcomes of the spending review you will need to answer two questions, and then act immediately."




Sid Sullivan

"Great News!" says Sid. See Sid Sullivan's reaction to the Spending Review.



watching the #spending review unfold. 8% budget cut directly affecting biodiversity, 5% cut affecting climate change


Looks like 8% cut a year for Defra. So that's a third of budget gone in four years. Time to reinvent what they do.


In the face of big , it looks as tho' Defra has heeded campaign to protect best bits of wildlife-friendly farming schemes.

@cpreshropshire CPRE Shropshire
Defra is to the increase the Higher Level Stewardship Scheme by 80%, while cutting budget. Not clear where the Entry Level scheme stands.

For the results of the Bonfire of the Quangos, see attached article or click here.

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