UK Government Plans Cuts to Department for Business and Trade
The UK government is set to implement significant reductions within the Department for Business and Trade (DBT), aiming to streamline operations as part of a broader strategy to enhance efficiency, reports 24brussels.
A government spokesperson confirmed the intention to “reduce the department in size,” aligning with efforts to maximize efficiency while ensuring that the right expertise is in place to support British businesses. Although no official recruitment freeze has been announced, the spokesperson emphasized the need for a more agile and effective civil service, reflecting current economic realities.
Chancellor Rachel Reeves has earmarked £150 million to finance an employee exit scheme as part of this initiative, which aims to decrease overall administration costs across Whitehall by 15 percent by the end of the decade.
Trade expert David Henig, a former government adviser now at the European Center for International Political Economy, commented that these changes would likely demand significant staff time and energy. He expressed concerns that the government’s current approach undervalues the role of the DBT, highlighting the importance of trade and industrial strategies for UK economic growth.
Henig further stated, “Obviously fewer numbers may mean choices in what to prioritize.” He added that the belief that government should engage directly in business activities is misguided, stating the preference for “low tax, easy employment rules and well-designed fluid regulations” for businesses to flourish.
