Spending Review: An at-a-glance summary of the key points
Chancellor George Osborne has announced government spending plans for 2015-16 and cuts to individual departmental budgets. Here is a summary of the main points.
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OVERALL SPENDING
- Government spending to total £745bn
- Further savings of £11.5bn needed
PAY AND JOBS
- 1% cap on public sector pay rises
- Automatic progression pay to be ended in civil service, schools, hospitals, prisons and the police but not the armed forces
WELFARE
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- New cap on elements of welfare spending from April 2015
- Cap to be set in cash terms every four years
- Housing benefit, tax credits, disability living allowance to be included
- State pension to be excluded
- Pensioners living in certain EU countries to lose winter fuel allowance under new "temperature test"
- Work and pensions resource budget cut by 9.5%
- Seven-day wait before job seekers can claim benefits
- Claimants will have to attend language schools or benefits will be cut
LOCAL GOVERNMENT AND COMMUNITIES
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- 10% cut in resource budget
- £3bn capital spending on new houses
- £200m extra for troubled families initiative
- Council tax bills in England frozen for 2014-15 and 2015-16
CULTURE, MEDIA AND SPORT
- 7% cut in resource budget
- Elite sport to be protected
- 5% cut to budgets for museums and arts organisations
DEFENCE
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- Resource budget frozen at £24bn
- 1% real-terms increase in military equipment budget
- Civilian posts to be cut, but no reduction in armed forces personnel
- Procurement and private finance initiative (PFI) contracts renegotiated
- Permanent funding for military covenant that supports UK troops and their families
POLICING and JUSTICE
- Budget cut of "less than 6%" for police
- Counter-terrorism budget protected
- Home Office resource budget cut by 6%
- Justice resource budget cut by 10%
- Prison costs to be reduced by £180m and court costs by £200m
COUNTER-TERRORISM
- 3.4% increase in combined budget for intelligence agencies
TRANSPORT
- 9% cut in resource budget
- Running costs of Transport for London and Network Rail to be cut
- Increase in capital spending to £9.5bn
BUSINESS, SKILLS AND UNIVERSITIES
- Resource budget cut by 6%
- Student maintenance grants frozen
- More money for apprenticeships and UK exports
- Capital spending up by 9%
- Science budget to be frozen at £4.6bn both more money for capital projects
- £2bn growth fund for local enterprise partnerships
EDUCATION
- Resource budget to rise to £53bn
- Budget for schools in England protected
- New National Funding Formula for schools to ensure fairer distribution of funding
- Money for 180 new free schools
HEALTH
- NHS budget in England to rise by 0.01% to £110bn
- Rise in capital spending to £4.7bn
- Joint £3bn commissioning plan between NHS and councils for social care
ENVIRONMENT, FOOD AND RURAL AFFAIRS
- 10% budget cut in departmental spending
- More money for flood defences
ENERGY
- 8% cut in resource budget
- Guarantees for new nuclear plants
- Tax incentives for shale gas drilling
FOREIGN OFFICE AND INTERNATIONAL AID
- 8% cut in Foreign Office resource budget, but more money for new embassies
- International development budget protected, rising by £809m to £11.1bn.
INFRASTRUCTURE
- Total £50bn investment in new projects
- Details to be announced by Treasury Secretary Danny Alexander on Thursday
SCOTLAND, NORTHERN IRELAND AND WALES
- 2% cut in grants to devolved administrations but extra capital investment powers
- 10% cut to Scotland, Wales and Northern Ireland Offices
- £31m of new funding for the Police Service of Northern Ireland
CABINET OFFICE
- 10% cut in resource budgets but extra support for National Citizenship Service
