UK to lose fewer public sector jobs

The independent Office for Budget Responsibility says public sector job losses in the United Kingdom will not be as high as previously thought.



The Office for Budget Responsibility now expects 330,000 public sector workers to lose their jobs over the next four years, far fewer than the 490,000 it forecast in its June report.



At the same time, it has raised its estimate for economic growth this year, from 1.2 to 1.8 per cent.



However, it lowered its growth estimates for the next two years.



The body says economic performance next year will be growth of 2.1 per cent down from its previous 2.3 per cent forecast.



The Office for Budget Responsibility was formed by the coalition government in May and is intended to make an independent assessment of the public finances ahead of each Budget.