The UK government is preparing to reduce administrative spending across the Civil Service by £2 billion per year, a cost-cutting initiative that could lead to the loss of tens of thousands of jobs, according to reports relayed by Express. As part of a wider plan to restructure public spending and shift resources toward frontline services, the move signals one of the most substantial overhauls of the Civil Service in recent years and has already sparked concern among unions and public sector staff.
A Plan to Restructure Government Administration
Chancellor Rachel Reeves and Cabinet Office minister Pat McFadden are expected to instruct government departments to lower their administrative budgets by 15% over the next five years. The measure is part of a broader drive to redirect resources toward frontline services such as education, healthcare, and policing.
According to a Cabinet Office source, the government aims to reshape the public sector: “To deliver our Plan for Change, we will reshape the state so it is fit for the future. We cannot stick to business as usual.” Areas identified for cost reductions include human resources, office management, and government communications.
Union Concerns over Service Delivery and Job Losses
The proposed cuts have drawn criticism from unions, who warn of substantial consequences for both staff and public services. Dave Penman, general secretary of the FDA union, stated: “Cuts of this scale and speed will inevitably have an impact on what the Civil Service will be able to deliver for ministers and the country.”
Unions estimate that the savings sought could equate to around 10% of the Civil Service salary bill, suggesting tens of thousands of roles could be eliminated. Penman added that limiting reductions to back-office functions is “for the birds,” arguing that the scale of savings implies a broader downsizing across departments.
Mike Clancy, from the Prospect union, emphasised the risk to service quality: “A cheaper Civil Service is not the same as a better Civil Service.”
Efficiency or Attrition?
While job cuts are expected to make up the bulk of the savings, other avenues are under consideration. Officials believe some efficiencies could be achieved by modernising procurement practices and increasing the use of technology and AI in administrative processes.
Departments will retain some autonomy in how they meet the savings targets, potentially allowing for variation in how cuts are implemented across Whitehall.
A Long-term Restructuring Strategy
The announcement precedes Rachel Reeves’ upcoming Spring Statement, which is expected to set out further fiscal plans and reform measures. The cuts are positioned as part of a broader effort to prioritise public-facing services over internal bureaucracy.
As details continue to emerge, the balance between administrative efficiency and service capacity will remain a point of tension between government and unions. The exact impact on staffing levels and public service delivery will likely depend on how departments choose to interpret and execute the 15% reduction target.
