Public sector now 53% of economy as record 6.09million Britons work for the state
By Gerri Peev
Last updated at 8:26 AM on 23rd March 2010
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The public sector has ballooned under Labour to make up more than half of the economy.
State spending now accounts for 53.4 per cent of gross domestic product (GDP) compared to 40 per cent when Labour came to power in 1997.
Britain’s public sector is now bigger than the European Union average of 50.4 per cent, according to the Organisation for Economic Co-operation and Development figures.
Enlarge Just some of the advertisements for high-paying public sector jobs that account for state spending
The Daily Mail revealed last week how the latest unemployment figures showed that private sector employees have been facing the sack, while a record 6.09million Britons now work in the public sector.
Around 1,440 private sector workers lost their jobs each day last year – but the number of state employees rose by 126 a day, according to the Office for National Statistics.
More…Budget deal for the banks will hit firms but ‘lets them off the hook’
More Britons are forecast to be reliant on the public sector than ever before, putting the country on a par with countries such as France and Sweden.
Even Ireland and Iceland, badly hit by the financial crisis, generate a greater proportion of national income from private endeavour than Britain.
In Australia, state spending accounts for just 36.6 per cent of the economy while in America the proportion is 41.5 per cent.
The Labour Government has openly championed the growth of the state in recent months, insisting that were it not for state intervention, many more people would be out of work.
But the OECD figures do not even include the bailout of banks. The public deficit is now at a record £150billion.
Chancellor Alistair Darling has insisted there will be no giveaways in his Budget tomorrow but he is expected to unveil plans for even more state spending through a ‘green’ investment bank.
The Tories have seized on the revelations.
Shadow Chief Treasury Secretary Phil Hammond said voters had to chose between ‘the Conservatives’ pledge to raise the private sector’s share of the economy in every region and five more years of Labour’s debt-driven model’.
ANYBODY SEE THE REPORT LAST NIGHT FROM HULL- CHANNEL 4 NEWS- VERY WORRYING!
It is all part of the big plan to be reelected by the cap doffing workers who will have to suck up to thier political Lib/Lab/Con masters who are all the same.
– Nanuk of the North, Morpeth England, 23/3/2010 10:24
This represents a staggering 34% increase in state wastage, sorry spending! This is totally unacceptable, no wonder we are having to borrow so much when the state is consuming so much.
All this hideous Marxist dictatorship has done over the past 13 years is create more and more non-jobs to secure more votes. Worse still is were the bulk of the money is spent, raided from South and poured into Labour’s Northern heartlands.
The hard working middle classes are paying for the destruction of our country and until we can vote these evil people out the worse it will get!!!!!!
– Rude Boy, Bedford, 23/3/2010 10:07
Have you noticed the recent upsurge in government funded information announcements on commercial radio? Drive 5 miles less a week, cut the rind off your bacon, claim your tax credits etcetera. Drives me mad! Anyway, I’ve found an Aussie station online and apart from a few ordinary adverts and the news and just plays oldies music. Great!
– Peter Allen, Wolverhampton, England., 23/3/2010 10:07
If you vote for a bunch of Neo-Marxists who believe in the power of the collective state, that’s exactly what you get. Remember this when you come to vote in less than 10 weeks time.
– Adrian, Reading, UK, 23/3/2010 9:
There was I thinking that the ecomice sector was the one that made things, and earned money for the nation rather the drones who lived off the ones that did the work;
Winter is coming, and what happens to the hive that does not get rid of the drones, it dies out.
Nations are no different than the hive, in hard times the drones must all be culled
– \”g, Bruxelles, 23/3/2010 9:49
Gail from Gloucester is living in a dream world. Many councils own employment agencies and will only take staff from them, thus they can circumvent the employment laws in this country and keep staff permanently on temporary contracts.
– Ratcatcher, Westminster Sewer, 23/3/2010 9:46
Even then the figures are doctored. Taking into account hidden factors (bank-bail-outs which are mentioned here, not mentioned are Private Finance Inititives – PFI’s, a much greater cost) I would guess public sector spending is well over 60%, closer to 70%. Guess what’s going to happen to us?!
– Cllr Chris Cooke, Tamworth, 23/3/2010 9:35
Labour for sale … how Labour buy their votes!
– Millicent PC, Somerset GB, 23/3/2010 9:30
Under this socialist government the state is the master and you are the servant!
Under the Thatcher style of government the people became the masters and the
state the servants!
If more people work for the state they enjoy greater employment security and little
or no responsibility for their actions.
– gordon silk, hamar norway, 23/3/2010 9:26
Under this socialist government the state is the master and you are the servant!
Under the Thatcher style of government the people became the masters and the
state the servants!
If more people work for the state they enjoy greater employment security and little
or no responsibility for their actions.
– gordon silk, hamar norway, 23/3/2010 9:25
If you vote for Lab this is what you get, this is what you deserve as this is what they represent, an unaffordable structure to due grossley mis managed strategies by self seeking gravy train MPs. Unfortuantely the many that do work hard for the common good get tarred with the same brush. So Lab employ most of the workers in the UK so then they must secure most of the votes or you cut your own throat! Humm clever way of staying in Gov’t then. Simplez!
– Bilbo, Hobbiton, 23/3/2010 9:18
But the public sector doesn’t MAKE anything does it?
We are nothing but a third world Country – shame on Labour and all who sail in her!
– Christine, England a Country that used to be the best., 23/3/2010 9:16
The biggest employer in Merton (Wimbledon SW London) is, of course, Merton Council.
Remember the good old days of the street sweeper with his hand-cart, broom and shovel? Well not any more! Now it takes … THREE MEN! One to push the cart, one with the shovel and … yes, you guessed it, … one with the brush.
BUT THEY ARE NOT WORKING! … for, as they walk along the way, they are all too busy chatting on their mobile phones!
Not to worry though. You then have the guy who comes along riding his gully-cleaning machine (pretty good I must say!) and another guy who comes along riding his pavement min-cleaning machine – who usually manages to avoid collecting any rubbish left on the pavement!
– Aidy, London UK, 23/3/2010 8:51
Time to go back to basics. The Public sector should only consist of ESSENTIAL services.
Get rid of all the unwarranted QUANGO’S, Consultants & Experts.
Put quality care back in the hands of the Local Councils DIRECTLY, & BAN them from using inferior Agencies who use poor quality, temporary, staff on a contract basis.
– Gail, Gloucestershire, 23/3/2010 8:47
Yes, this is the workforce the government needed to enforce all the red tapes they imposed. Everybody, including all these public sector workers are gutted!
– Eric, Kent, 23/3/2010 8:45
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