Sunday, 6 November 2011
UK Public Expenditure - Where Does The Money Go?
During the last fiscal year, the UK government spent £691 billion. Where did the money go? Most of it went on social benefits, health and education. Interest payments took up a sizable chunk, despite the Bank of England's attempts to keep rates low. Public investment was also a hefty number.
If Her Majesty's Government is going to make a sizable reduction in public expenditure, there is little point looking for savings among the other items. We could abolish the foreign office (FCO), stop offering AID to poor countries and leave the EC, and the savings would quite limited. However, we might get somewhere if we abolished Scotland, Wales and Northern Ireland.