UK trade departments face “up to 40%” staff cuts, warn insiders

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Government agencies accused of attracting domestic investments in the UK, and promoting British exports face significant job cuts within the future expense review, warn WHITHALL insiders.

The proposed reduction in the number of loads come, despite repeated promises of the chancellor and prime minister to attract more investors to UK And increase economic growth.

One person who knew the discussions said that the employees of the Department of Business and Trade were warned about the reduction of the number of “30 to 40 percent”, according to the proposal to combine two units involved in the promotion of the UK as an investment place.

The second person stated that it is planned to “hard haircut” for the exports to promote the expenses for “zero”, where the departments should start with an empty sheet and justify the level of their staffing.

The Department of Business and Trade stated that it “did not recognize” speculation by 30-40 percent of the reduction, adding that the final decisions were not made.

However, the officials acknowledged that the review, which is completed in the spring, introduced tough solutions in all departments of Whitehol.

The third person, familiar with this process, said the unions had caused concern about the perestroika. The Union of Public and Commercial Services, providing more than 190,000 civil servants, has declined to comment.

Officials said there was a reduction in the investment state with a merger between 25 people in investment-substitution, number 10 and a business department, created in 2020, and a much greater management management in DBT.

Sir Keir Starmer promised in October last year to “reinforce” and “revise” ofi together with gathering Baronez Mc Gustafson, co -founder and executive director of the Darktrace cybersecurity company, as Minister of Investment.

One person acquainted with restructuring, said the ministers planned to turn ofi, which previously acted as a small team of inter -party “retainers”, into the main investment agency.

Offers follow Lord Richard Harington’s recommendations in their 2023 Review From the UK investment landscape, in which he said that ofi needed to “get stronger support from the Central Government” as part of a new investment strategy.

Its role will also include strengthening the connection with regional mayors, using combined authorities that help attract investment offers to local investors.

Tom Pope, Deputy Chief Economist at the Institute of Government Analytical Center, said there was a strong economic logic to attract FDI.

But, he added, there was a “gap in potential” and experience in MCAS to ensure ambitions.

However, two insiders said that despite the fortified role, the merger of the investment director of the business department will still lead to a pure reduction in the number.

“We were told that this would mean reduced power as a whole, and no expansion of the number and services,” said the director of the One Regional Promoting for the UK trade.

Changes to the investment department were announced by the “All Hands” officers earlier this month asking for a “haircut up to 40 percent” in the total number of personnel personnel, according to one in view of internal discussions.

Jordan Kamin, Head of the CBI Competitiveness Department in the UK, said the task was to simultaneously strengthen ofi, while reducing the reduction in the number expected within the expense.

“The Seckast Caster Swuffling as part of the expense review is just the first step. The step is the second to make this new body more compassionate to investors, useful mayor and transparent business. This starts with the fact that the Minister of Investing Teach what she wants to achieve,” – They added.

Productivity in the UK has been weak since then national statistics.

British trading chambers have stated that it seeks to deepen partnerships with the business department to improve exports and trade stocks, citing quotes research By showing the government support government, which has led to more likely companies are being exports and undergoing recession.

William Bane, Head of the BCC trade policy department, said the group would be worried about the cuts on exports. “This is a moment when you want to increase growth and look at the return loss of trading to make focused investments in exports,” he added.

The business department stated that raising trade and investment plays a vital role in implementing the government’s economic growth mission, and the department will continue to support the British business for export and attracting investments.

“We are creating a new investment promotion agency that will be more orderly and well -qualified to provide better service to our key investors and provide the investment needed by our economy to provide jobs and growth,” he added.