Measures such as keeping public sector pay settlements limited to 5-7%, as opposed to paying inflation-linked rises, will have meant slightly less spending. But that’s a mere percentage point or two of the public sector pay budget – a matter of a few billions, compared to total overall government spending of £1.9bn.
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The Bank of England’s new chief economist says it will have a “live” decision on interest rates next month.
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The prediction from analysts comes as the government scales back its two-year promise to cap bills.
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Speaking to the BBC’s Today programme, he said: “For families who have been having a really tough time, I...
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