June 3, 2009

Controlling Public Spending: The Scale of the Challenge

By Neil O’Brien, Dr Andrew Lilico & Adam Atashzai.

Government spending is growing far more quickly than in other countries, and faster than in previous recessions. This report finds that the surge in spending is not being driven by the recession.

At most, 6% of the increased spending is going on public works, and just over a third is due to the rising cost of social security or debt. Instead of “investment”, most of the increase is due to a decision to spend more on consumption.


Neil O'Brien

Director, 2008-2013

Dr Andrew Lilico

Chief Economist, 2009-2010

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