The UK government is under pressure as ministers scramble to justify their departmental budgets before an upcoming spending review. Chancellor Rachel Reeves has demanded that every pound spent must align with Labour’s top priorities, forcing departments to link their existing programs to key government missions like economic growth, net zero, crime reduction, education, immigration, and the NHS.
Ministers Aim to Protect Budgets Amid Spending Review
Officials reveal that secretaries of state are finding ways to connect their expenditures to Labour’s main goals. This effort, known as “mission-washing,” involves presenting current spending as essential to the government’s priorities. Departments risk losing funding if they fail to justify their budgets, with unprotected sectors expected to face cuts of at least 1% annually.
Growth as the Key Focus
The Treasury has made it clear that any spending which could negatively impact economic growth will not be approved. Ministers are now rushing to submit their final budget plans, ensuring every program appears to support the government’s mission for growth and other key areas.
Unconventional Justifications for Spending
Some justifications have raised eyebrows. For example, the Department for Science, Innovation and Technology argued that digitising death records promotes growth by eliminating the need for people to queue at local councils, thus saving time and improving efficiency.
The Liberal Democrats mocked this approach, stating, “There are three certainties in life: death, taxes, and the government forcing growth into every press release.”
Departments Defend Their Spending
Departments are defending their budgets in creative ways:
- Flood Defences and Waste Management: Claimed to be vital for economic growth.
- Foreign Office: Argued that diplomatic missions support UK trade and aid programs help reduce immigration from other countries.
Economic Forecasts Add Pressure
The Office for Budget Responsibility is expected to lower its economic growth forecasts, potentially wiping out the chancellor’s previous £9.9bn financial cushion. Efforts by the Treasury to include long-term reforms, like planning and welfare changes, in growth predictions have been unsuccessful due to their hypothetical nature.
Rachel Reeves Firm on Fiscal Rules
Chancellor Reeves has made it clear she will not break fiscal rules or introduce significant tax hikes, leaving spending cuts as the primary option. Departments outside of health and defence have been asked to prepare for substantial budget reductions.
The upcoming spending review highlights the intense pressure on UK ministers to protect their budgets by linking expenditures to Labour’s key missions. As economic challenges mount, creative justifications for spending have become the norm, with the government facing tough decisions to balance priorities and maintain fiscal discipline.
