TCII :: Management Consultants

Coalition cabinet ministers have been discussing further cuts to public and departmental budgets. Meanwhile, Chief Secretary to the Treasury Danny Alexander has indicated to the Observer that it is unlikely there will be any reduction in taxes before 2015.

Such continued cost-cutting measures look likely to bite hard for the foreseeable future, and will of course be highly unpopular with the voting public and the Labour opposition. But if such cuts were announced by the management of a major corporation in a similar situation, would they be condemned so much?

With a budget deficit of almost £200 billion, the UK needs to do one of two things - raise extra tax revenue or cut spending. Neither of these factors was ever likely to make it high up the list of the major parties election manifesto promises, but such a situation is now looming overhead like a giant fiscal raincloud.

Cuts in public spending are perhaps marginally more popular with the majority of the population than hiking up taxes, as they do not appear to impact upon personal wealth directly.

So, it seems that like the embattled middle management of an ailing corporation, we taxpayers must brace ourselves for the stormy weather ahead, and put our faith in those at the top to make wise cuts in the right places.