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Cabinet discussing spending cuts Cabinet discussing spending cuts
(19 minutes later)
Chancellor Alistair Darling has begun holding meetings with cabinet members to look at possible spending cuts. Chancellor Alistair Darling has begun holding meetings with cabinet members to look at possible spending cuts, the BBC has learned.
PM Gordon Brown admitted this week cuts are needed in "lower priority budgets" and "unnecessary programmes". PM Gordon Brown admitted this week cuts are needed in "unnecessary" spending.
Cabinet ministers are being asked which programmes they believe could be sacrificed and which should be spared.Cabinet ministers are being asked which programmes they believe could be sacrificed and which should be spared.
The Tories have accused Mr Brown of keeping the truth about spending cuts from the public and MPs after he spent months denying they were needed.The Tories have accused Mr Brown of keeping the truth about spending cuts from the public and MPs after he spent months denying they were needed.
BBC political editor Nick Robinson said the political process of deciding what will be cut followed an exercise carried out by Treasury officials over the summer and some savings will be revealed in the chancellor's autumn Pre-Budget Report. BBC political editor Nick Robinson said it marked a change of approach by the government and followed an exercise carried out by Treasury officials over the summer.
ID cardsID cards
Some savings are expected to be revealed in the chancellor's autumn Pre-Budget Report.
And he said a series of senior ministers believed that the controversial ID cards project would have to go, although they did believe it would make the savings quoted by the Tories and Lib Dems, who both say they would axe the scheme.And he said a series of senior ministers believed that the controversial ID cards project would have to go, although they did believe it would make the savings quoted by the Tories and Lib Dems, who both say they would axe the scheme.
The Home Office says no talks have taken place about scrapping ID cards.
Consideration is being given to the idea that the cabinet as a whole should agree where the spending axe should fall so that, as a previous chancellor once graphically put it, all get to dip their hands in the blood Nick Robinson, BBC political editor Read Nick's blog in full Cameron 'trusted more' over cuts Q&A: Spending cutsConsideration is being given to the idea that the cabinet as a whole should agree where the spending axe should fall so that, as a previous chancellor once graphically put it, all get to dip their hands in the blood Nick Robinson, BBC political editor Read Nick's blog in full Cameron 'trusted more' over cuts Q&A: Spending cuts
The Home Office says no talks have taken place about scrapping ID cards.
Over the summer Treasury officials looked at the scope for savings in areas covering around a half of government expenditure - for example the use of space in hospitals and quangos with overlapping responsibilities.Over the summer Treasury officials looked at the scope for savings in areas covering around a half of government expenditure - for example the use of space in hospitals and quangos with overlapping responsibilities.
The BBC understands Mr Darling has now begun holding one-to-one meetings with cabinet colleagues to establish their spending priorities and to identify possible savings in their departments.The BBC understands Mr Darling has now begun holding one-to-one meetings with cabinet colleagues to establish their spending priorities and to identify possible savings in their departments.
Gordon Brown admitted for the first time that spending cuts would be needed in a speech to the TUC in Liverpool on Tuesday. Meanwhile the Liberal Democrats' Treasury spokesman, Vince Cable has hinted that tax rises are on the way to help address the £175bn budget deficit expected by the end of this financial year.
The prime minister said he would "cut costs, cut inefficiencies, cut unnecessary programmes and cut lower priority budgets". Tax hints
Cuts row He told BBC Radio 4's Today programme that the "pain" of the economic crisis had been absorbed by government borrowing, which could not be sustained for many years.
A future government would have to find between £80bn and £100bn over the next Parliament, he said.
He accepted the ten proposals he had spelled out as possible areas for cuts - including freezing civil service pay, scrapping ID cards and axing the Trident nuclear programme - were not sufficient.
"This doesn't add up to the full scale of cuts that are required and I fully acknowledge that," he said.
"It is eventually going to be a combination of spending and tax measures."
The prime minister admitted for the first time on Tuesday that spending cuts would be needed, saying he would "cut costs, cut inefficiencies, cut unnecessary programmes and cut lower priority budgets".
But he said Labour would not "support cuts in the vital front-line services on which people depend".But he said Labour would not "support cuts in the vital front-line services on which people depend".
Shadow chancellor George Osborne has claimed that leaked Treasury documents show Mr Brown "misled" Parliament on the scale of planned spending cuts.Shadow chancellor George Osborne has claimed that leaked Treasury documents show Mr Brown "misled" Parliament on the scale of planned spending cuts.
The papers suggest the government is preparing 9.3% cuts in departmental budgets over the four years from 2010, Mr Osborne said, adding that Mr Brown had told MPs he was not planning 10% cuts. The papers suggest the government is preparing 9.3% cuts in departmental budgets over the four years from 2010, Mr Osborne said. Mr Brown has repeatedly accused the Conservatives of planning 10% cuts.
Downing Street has rejected the claims, saying "the prime minister would never mislead Parliament".Downing Street has rejected the claims, saying "the prime minister would never mislead Parliament".
Meanwhile, a poll for BBC Two's Newsnight suggests more people think Tory leader David Cameron would make the right cuts in public spending than Gordon Brown.Meanwhile, a poll for BBC Two's Newsnight suggests more people think Tory leader David Cameron would make the right cuts in public spending than Gordon Brown.
Of the 1,050 adults canvassed for the programme, 39% said they trusted the Conservatives to make the right choices when it came to spending decisions.Of the 1,050 adults canvassed for the programme, 39% said they trusted the Conservatives to make the right choices when it came to spending decisions.
This compared with 24% for Labour and 17% for the Liberal Democrats.This compared with 24% for Labour and 17% for the Liberal Democrats.