HC Deb 17 July 1979 vol 970 cc469-70W
Mr. Newens

asked the Chancellor of the Exchequer if he will estimate the number of employees who will lose their jobs as a direct result of cuts in public expenditure made by the Government up to the present time.

Mr. William Hamilton

asked the Chancellor of the Exchequer what estimates he has made of the effects of the Budget on employment in the public sector, with particular reference to the effects on the building industry.

Mr. Biffen

The measures announced in my right hon. and learned Friend's Budget Statement are expected to reduce the volume of public expenditure in 1979–80 by at least 3 per cent. below the outturn projected in the previous Government's White Paper, probably to a level similar to that of 1978–79. The impact on employment in the public sector will depend on a variety of factors, including the response of local authorities, but is likely to be small. The effects on the building industry will depend on the private sector's response to the opportunities offered by the Budget.