Finance

UK's Reeves has warned ministers to consider cuts to frontline services, The Times reports

Published by Global Banking and Finance Review

Posted on January 2, 2025

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(Reuters) - British finance minister Rachel Reeves has warned ministers that they will have to consider cuts to frontline services if they want to fund above-inflation pay rises for public-sector workers, The Times reported on Thursday.

The Treasury has taken a hardline stance and told ministers that there will be no additional funding and that if independent pay-review bodies recommend bigger rises in earnings, they will have to fund it from within existing budgets, the report said.

(Reporting by Harshita Meenaktshi in Bengaluru; Editing by Leslie Adler)

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