Government efficiency adviser warns of tough times for public sectorEmployment leaders were given a stark picture of the situation facing the public sector in the coming years, at a Recruitment and Employment Confederation (REC) summit on future resourcing.

The government’s efficiency adviser Sir Peter Gershon warned delegates that taxpayer-funded services were likely to endure tough times ahead with the possibility of up to 20 per cent of funding slashed from certain areas.

Chancellor George Osborne announced that £6.2 billion would be cut from the UK’s public spending budget in order to reduce a growing deficit.

However, there were also some positive views on how this crisis could help create a public sector, with Jackie Orme, chief executive of the Chartered Institute for Personnel and Development, stressing the need to add value to workforces, rather than simply slashing expenditure and jobs.

REC chief executive Kevin Green reiterated his call for sustainable reform in this area, despite needing to save money.

“The views expressed today confirm that we’re heading for a period of fundamental change. There is a real once in a lifetime opportunity for radical reforms to improve the UK’s public sector organisations,” he said.

By Colette Paxton