In the South-west almost 22% of the employed population are working in the public sector. That is why the announcement Government’s that 410,000 public-sector jobs will go by 2015/16 is shocking. However the Chartered Institute Of Personnel and Development have estimated that 1.6 million jobs will go. In the public sector they believe that there will be 725,000 job losses and some 875,000 in the private sector. The trigger for this will be the increase in VAT to 20%.
For the next 5 years it will be grim and there is no great hope from the private sector. Jobs are more likely to be created in the South-east and Midlands. I predict that there will be a lag in jobs creation and that Swindon will be behind the likes of bristol and Reading as Swindon people travel to work there. If staff are willing to travel to areas along the M4 corridor then why would a business move to Swindon? Would it want to relocate here in the time of cost reduction if the skill is willing to travel to the business?
Some 9% of graduates from last year are unemployed and these people are relatively cheap to employ and with a degree represent a high level of education, knowledge and are trainable. With an introduction of tuition fees it may cause problems in the HE sector and will that mean that Swindon is more or less likely to have its own university? How long before Swindon is offering a rent one office get one free?
The years 2011/15 are going to be tough on all members of the workforce and a strain Swindon’s economy. That is why we must fight the cuts, preserve services and also protect our local economy from the LibDem Conservative coalition slash and burn.