Along with the cuts, the Chancellor announced that businesses would see a £7bn tax cut in the budget with hopes to instil the promise that taxes will be lower in future.
The Telegraph reported that chief economic advisor to the Ernst & Young ITEM Club, Peter Spencer said: “The Government has bent over backwards to produce business-friendly policies…Companies now have to step up to the plate.”
Forecasting a positive economy, Spencer added: “Large companies are in excellent shape, with plenty of opportunities for investment and employment and the financial strength to exploit them.”
General secretary of the TUC, Brendan Barber disagreed, claiming that regions with weak private sectors will suffer from the cuts as they struggle to provide the resources.
Barber said: “Public sector job losses are likely to occur in some of the UK’s more depressed regions where private sector job creation is already extremely poor. Job losses will depress local economies even further.”
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Hmm, well, the job market is a cut-throat place. Sometimes public sector dominates, other times it's the private sector. The thing that matters though is the public well-being. As long as that is taken care of – all is good. On a separate note, I think people are also getting smarter about things. If there are no jobs, they go the other routes, like providing online dissertation help freelance, or running an online store, or anything that works for them.
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The statement you've provided suggests that the government is reducing its spending in certain areas, and expects the private sector to take on a larger role in providing goods and services that were previously funded by public expenditure.
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