Over 50s to be hardest hit by the cost-of-living crisis and the financial impact of the Covid pandemic

A report by leading UK data scientists has revealed that the over-50s are being hit hardest by the current financial crisis and could face a lifetime of financial insecurity.  

That’s according to new research from the University of Edinburgh’s Smart Data Foundry, supported and funded by abrdn Financial Fairness Trust. 

According to the report, economic inactivity rates have risen a third amongst the over 50s since 2019, and people aged 50-54 face double the financial vulnerability risk than those aged 70-74.  

Findings reveal that people in their 50s and 60s are facing the ‘perfect storm’ of circumstances including redundancy, ill health or caring commitments combined with a lack of savings and pension provisions.   

To offset this loss of income, many people are being forced to withdraw lump sums from their pension pots to deal with pre-retirement income shocks.  

And with the majority of pension pots worth under £30,000, this is causing knock-on issues with income tax and entitlement to benefits.  Worryingly, the research also identified that those people who do cash in their pension pots early are 1.75 times more at risk of financial vulnerability in the future.   

To tackle this, Smart Data Foundry is calling on the Department of Work and Pensions to act now to reduce the risk of pension assets being spent before retirement. It recommends an increase to the current capital limit of £16,000 for means tested benefits and, for those on Universal Credit, the reform of the Support for Mortgage Relief (SMI) loan facility by removing the zero earnings rule. 

Chair of Smart Data Foundry, Dame Julia Unwin, explains: “We are seeing a pattern of people in their early to mid-fifties going from being in positions of comfortable, middle-aged breadwinners eyeing their future retirement over the horizon, to a generation suddenly finding themselves facing long-term financial hardship.  

“A combination of being unable to secure viable work, confused messaging over pensions, little by way of state aid, and the savage cost-of-living rises resulting in many making decisions that could have long-term negative consequences.  

“With this report and our key recommendations, we are calling for UK Government to intervene to protect and support the most vulnerable before it is too late. If they don’t act now, we will undoubtedly see even bigger problems in the years ahead. Data doesn’t lie; the evidence is there – older workers are at very real risk of financial vulnerability, but it is not yet too late to act.” 

The research study also uncovered a widespread lack of understanding about the benefits system, confusion about claims processes, and hardship arising from payment frequency.  To improve the transition to retirement, the report calls for increased government investment in the Pension Wise guidance service and expansion to include the state pension. 

According to the findings, older workers are encountering barriers to returning to work, including lack of digital skills, unavailability of flexible working, lack of specific government initiatives, ageism, psychological barriers, and retraining needs.  

The longer the unemployed worker remains out of work, the harder it is for them to find a suitable position and the greater their risk of falling into forced retirement.

The report calls for a government-funded employment programme targeted at those who need support in changing careers, starting from the first day of unemployment for the over 55s. 

Lead researcher Dr Lynne Robertson-Rose from the University of Edinburgh added: “We set out to understand the financial vulnerability amongst those in their 50s and 60s and have been surprised by the bleak picture that the data paints.

“Any disruption in earning capability in the decade before the state pension is forcing older workers to draw down on savings earmarked for retirement with little ability to top up the pot, leading to the risk of financial vulnerability becoming lifelong. 

“We have access to rich data supplied to Smart Data Foundry by UK financial institutions and these insights have furnished us with the information that enabled us to make policy recommendations.  It also flags  opportunities for the financial services and fintech sector to innovate in order to help individuals better manage their finances.” 

Karen Barker, Head of Policy and Research at abrdn Financial Fairness Trust, added: “Making decisions about your pension is tricky to navigate, and for those on lower incomes, advice is too expensive.

“The Government needs to improve access to advice on pensions planning for those on lower incomes to avoid a living standards catastrophe.”  

Poppyscotland wins Gold award for supporting Armed Forces community

Poppyscotland has been recognised by the Ministry of Defence for its outstanding help with employment for members of the Armed Forces community.

The Edinburgh-based charity was awarded the Defence Employer Recognition Scheme (ERS) Gold Award, the highest badge of honour given by the MoD.

The charity is one of 16 businesses and organisations in Scotland to receive the Gold award, with the scheme now in its ninth year. Poppyscotland, and its subsidiary, Lady Haig’s Poppy Factory, which employs a number of veterans with disabilities, both achieved the Silver award last year.

The Defence Employer Recognition Scheme encourages employers to support the Armed Forces community and inspire others to do the same. It runs bronze, silver and gold awards for employer organisations that demonstrate their support.

To win the gold award, they must provide 10 extra paid days leave for reservists and have supportive HR policies in place for veterans, reserves, Cadet Force adult volunteers, and spouses and partners of those serving in the Armed Forces.

They must also advocate the benefits by encouraging others to sign the Armed Forces Covenant and engage with the Employer Recognition Scheme. The Covenant is a promise to treat current and former service personnel and their families fairly, in areas from healthcare to housing.

Poppyscotland is Scotland’s leading Armed Forces charity, providing a wide range of services, including advice, financial support, and help with physical and mental health issues.

Austin Hardie, Director of Poppyscotland, said: “As an employer working directly at the heart of the Armed Forces community, we felt it was important that we show leadership and highlight the many benefits this scheme brings to both employer and employee. 

“Being awarded the Gold recognition is testimony to the values of Poppyscotland and our commitment to those who have served and are serving currently.  By espousing these values publicly, we also hope that it will encourage others to be involved in our life-changing welfare work that we provide to those in need in the Armed Forces community in Scotland.” 

Leo Docherty MP, Minister for Defence People, said: “Regardless of size, location or sector, employing members of the Armed Forces community is good for businesses.

“These awards recognise the outstanding support for our armed forces from employers across the UK and I would like to thank and congratulate each and every one.”

Scottish winners will be honoured at a ceremony at Stirling Castle on November 3rd.

TUC: Is it too hot to work?

  • UK Health Security Agency (UKHSA) releases level 3 heat-health alert for parts of UK
  • Forecasters warn temperatures will continue to climb and soar past 30 degrees C in some parts of the country
  • TUC calls on employers to make sure staff are protected from the sun and heat

The TUC has urged employers to make sure their staff are protected from the sun and heat after the UK Health Security Agency (UKHSA) issued a heat-health alert yesterday.

A Level 2 heat-health alert has been issued for the South West, East Midlands, West Midlands, North West and Yorkshire and the Humber regions.

And a Level 3 alert has also been issued for the East of England, South East and London regions.

Both alert levels are in place until 9am on Friday (15 July), with warm weather forecast across the country throughout the course of next week.

Climate change means that the UK will be subject to more frequent and intense heat waves – putting workers at greater risk.

Health warning

Working in hot weather can lead to dehydration, muscle cramps, rashes, fainting, and – in the most extreme cases – loss of consciousness. Outdoor workers are three times more likely to develop skin cancer.

The TUC says employers can help their workers by:

  • Sun protection: Prolonged sun exposure is dangerous for outdoor workers, so employers should provide sunscreen.
  • Allowing flexible working: Giving staff the chance to come in earlier or stay later will let them avoid the stifling and unpleasant conditions of the rush hour commute. Bosses should also consider enabling staff to work from home while it is hot.
  • Keeping workplace buildings cool: Workplaces can be kept cooler and more bearable by taking simple steps such as opening windows, using fans, moving staff away from windows or sources of heat.
  • Climate-proofing workplaces: Preparing our buildings for increasingly hot weather, by installing ventilation, air-cooling and energy efficiency measures.
  • Temporarily relaxing their workplace dress codes: Encouraging staff to work in more casual clothing than normal – leaving the jackets and ties at home – will help them keep cool. 
  • Keeping staff comfortable: Allowing staff to take frequent breaks and providing a supply of cold drinks will all help keep workers cool.
  • Talking and listening to staff and their union: Staff will have their own ideas about how best to cope with the excessive heat.
  • Sensible hours and shaded areas for outdoor workers: Outside tasks should be scheduled for early morning and late afternoon, not between 11am-3pm when UV radiation levels and temperatures are highest. Bosses should provide canopies/shades where possible.

The law

There’s no law on maximum working temperatures. However, during working hours the temperature in all indoor workplaces must be ‘reasonable’.

Employers have a duty to keep the temperature at a comfortable level and provide clean and fresh air.

The TUC would like to see a change in the law so that employers must attempt to reduce temperatures if they get above 24 degrees C and workers feel uncomfortable. And employers should be obliged to provide sun protection and water.

The TUC would also like ministers to introduce a new absolute maximum indoor temperature, set at 30 degrees C (or 27 degrees C for those doing strenuous jobs), to indicate when work should stop.

With climate change bringing higher temperatures to the UK, the government needs a plan on how to adapt and keep workers safe.

TUC General Secretary Frances O’Grady said: “We all love it when the sun comes out. But working in sweltering conditions in a baking shop or stifling office can be unbearable and dangerous.

“Indoor workplaces should be kept cool, with relaxed dress codes and flexible working to make use of the coolest hours of the day.

“And bosses must make sure outdoor workers are protected with regular breaks, lots of fluids, plenty of sunscreen and the right protective clothing.”

The UKHSA health-heat alerts are in place until Friday (15 July). More information is available at:https://www.gov.uk/government/news/heat-health-alert-issued-by-the-uk-health-security-agency

– The TUC is providing resources to workers on how to adjust workplaces to cope with extreme heat: Too hot, too cold – Too hot, too cold (tuceducation.org.uk)

New package of support to help over 50s jobseekers back into work

The UK Government has announced millions of pounds of new measures to tackle unemployment amongst the over 50s on benefits.

  • New measures set to help quarter of all jobseekers get back into work
  • Multi-million package will increase jobcentre support for over 50s including those thinking about retirement
  • Long term unemployed will be referred to the multi-billion-pound Restart Scheme which is already supporting a quarter of a million back into work

The new support follows ministers meeting their target to get half a million people into work in under six months, as part of the Way to Work jobs push launched in January.

Keeping up the momentum, £22 million will be invested in new measures to tackle unemployment amongst the over 50s on benefits, as a stable income is the best route for people to support themselves through challenging times.

Jobseekers over the age of 50 will have more one-to-one support at jobcentres to help them get into, and progress in work, boosting their earnings ahead of retirement.

This increased support will be boosted by 37 50PLUS Champions covering every district across England, Wales and Scotland who will work with local employers to help them realise how their recruitment could benefit from the talent of older workers.

Mid-life MOTs will also be available in jobcentres, targeting those thinking about retirement and engaging them to take stock of their skills and finances, and consider taking jobs that could boost their incomes based on their skills experience.

Minister for Employment, Mims Davies MP said: “Older workers are a huge asset to this country, and there are currently more than 400,000 over 50s in roles than before the pandemic.

“We’re increasing funding and support at every step of their journey up the career ladder, to ensure everyone gets the support they need to get into work, progress and use their experience to boost their earnings and plan for a better future.

“Helping people find the security of a stable income, through a job they can take pride in, is also one of the best ways for people to support their families during these challenging times.”

Carole Easton, Chief Executive at the Centre for Ageing Better, said: “Seeing DWP continue to recognise the importance of a bespoke approach to older workers is really welcome.

“We know that older workers face unique challenges, such as ageism in the workplace and a possible gap in skills compared to some of their younger counterparts, so we will gladly support any tailored action that begins chip away at these significant roadblocks standing in the way of older people accessing fulfilling work.”

Research shows that people over 50 are more likely to have caring responsibilities, with 12% of men and 16% of women aged 55-64 providing informal care and increased support from Work Coaches will help them navigate these barriers.

With the economy back on its feet, and the demand for experienced staff, the advice will help older workers make the right choice for them. And for those who have been out of work for nine months, the government’s Restart Scheme will provide a year of intensive support to get them back on the career ladder.

One year since its launch, the Restart Scheme is already seeing the first jobseekers take up work and leave the scheme and is currently supporting a quarter of a million people get the skills they need to re-enter the workforce.

This is part of the government’s renewed focus on growing the economy and helping people find work and boost their earnings.

Armed Forces Day – New career at Amazon for Bathgate military veteran

The team at the Amazon delivery station in Bathgate is celebrating Armed Forces Day (25th June) by shining a light on some of the veterans and reservists working across Amazon’s UK operations network. 

One of the veterans currently working at Amazon in Bathgate is Daniel Da Silva, who joined the company in 2020. 

The Amazon Military Programme offers members of the military community the opportunity to pursue a wide range of exciting new career paths at Amazon.

This year Amazon will recruit (or has recruited) over 300 veterans, reservists and military spouses across the business in over 35 different jobs ranging from health & safety specialists, engineers, sales managers and team leaders to senior managers. These new employees join over 2,500 already employed at Amazon since it commenced its military programme in 2011.  

Amazon has been awarded the Employer of the Year Award at the Ex-Forces in Business Awards for two years in succession for its outstanding efforts in supporting ex-services personnel and military spouses. The Ex-Forces in Business Awards is the world’s largest celebration of military veterans in second careers. 

The awards are dedicated to providing a much-needed platform for uncovering and showcasing the business achievements of ex-military, recognising the value veterans add to businesses as well as the employers that support the transition of servicemen and women.

Amazon’s military onboarding plan dedicated mentoring platform and thriving employee resource group ‘Warriors at Amazon’ continue to ensure our ex-forces have the best possible start to their second careers in Industry.

Amazon is also a proud signatory of the Armed Forces Covenant. The Covenant, originally introduced in 2011, has a focus on helping the Armed Forces community to access the same support from government and commercial services as the public. 

Amazon first signed the Armed Forces Covenant in 2013 and renewed its commitment in 2021, vowing to uphold its key principles and to demonstrate its commitment to serving personnel, reservists, veterans and families.

Daniel Da Silva joined Amazon two years ago and is currently working as a Health and Safety Coordinator based at the Bathgate delivery station. 

Before joining Amazon, Daniel decided at age 17 to join the marines in Portugal. Due to an injury after 12 months of training, Daniel was told he couldn’t finish the last three weeks of his course. After recovering from his injury, Daniel started the same training once again and after 12 months, he received his well-deserved blue beret. 

“At some point in life we all fall, but it is down to us to stand up and use that bad moment as a fuel for something greater,” he said. 

As lockdown struck, Daniel found it very hard to stay at home. His brother was working at Amazon, so he decided to apply for a temporary part-time job but decided to stay on with Amazon after lockdown restrictions lifted. 

“I started to enjoy the diversity of roles here and opportunities and when it came to the time to go back to my previous job, I decided to stay at Amazon,” Daniel said. 

“For six years of my life, I had done a lot of leadership training and learned a lot during that period. I can now use those experiences to put what I learned into practice at Amazon. It’s something that comes naturally to me now. 

“Amazon is a great company to work for and a brilliant place to develop skills. You can go up the levels if you have the passion and commitment to do so.” Daniel added. “Comparing the opportunities that we have at Amazon to the military, it’s a much safer environment and you can spend more time with family, which are two big bonuses for me.” 

Clare Cornbleet, Senior Delivery Station Manager at Amazon in Bathgate said: “The Amazon Military Programme has been a fantastic success and Daniel is one of the many brilliant veterans and reservists working in Amazon buildings here in Bathgate and around the UK.

“The skills learned in the military are highly transferable to a role at Amazon and we’re pleased to continue offering employment, training and development opportunities to former servicemen and women through our programme.” 

Gillian Russell, Principle Programme Manager, Global Military Affairs and retired Royal Navy Officer at Amazon, added: “The military community brings huge value to the workforce and we have a dedicated team focused on bringing that talent into Amazon.

“We offer opportunities across the whole business and we train, develop and support veterans, military spouses and Reserves to flourish and thrive here. We believe everyone should have the opportunity to lean new skills and build their career at Amazon.”

Launched in 2021 the Amazon Corporate Military Internship Program is one such opportunity. It offers a direct path into corporate roles in e-commerce for those transitioning from the Armed Forces.

Those on the programme are supported throughout their transition to the corporate world, including a military mentor who already works at Amazon, tailored support from line management and an on boarding buddy.

To find out more about beginning a career with Amazon, visit Amazon Jobs

Amazon provides competitive pay, comprehensive benefits and a modern, safe and engaging work environment for its employees. The roles pay a minimum of £10.00 or £11.10 per hour depending on location, and Amazon employees can also take advantage of Amazon’s pioneering Career Choice programme, which pre-pays 95% of tuition for courses in high-demand fields, up to £8,000 over four years, regardless of whether the skills are relevant to a career at Amazon. 

Amazon also provides opportunities to improve existing skills or learn new ones through internal career progression opportunities such as cross-training, transferring to a different department and promotion into a managerial role. 

Amazon has invested over £32 billion in the UK since 2010 to provide convenience, selection and value to UK consumers, while supporting tens of thousands of businesses and creative professionals including small businesses selling on Amazon’s online stores, Amazon Web Services developers and Kindle Direct Publishing authors.  

Young people urged to apply for Job Start Payment

Extra money for unemployed young people who are starting work

Eligible 16-24 year olds who are already receiving certain other benefits or tax credits are being encouraged to apply for Job Start Payment – a one-off payment worth £267.65, or £428.25 if the applicant has children.

Job Start Payment helps young people with the costs of starting a job after a period of being unemployed. The payment can help with the costs of travel, work clothes or childcare.

Speaking at Start Scotland, which delivers an employability programme supporting young people in Edinburgh, Minister for Social Security Ben Macpherson said: “Our Job Start Payment provides financial support for eligible young people who are starting a new job.

“We have provided this payment since summer 2020 and want to see even more people making use of it, particularly given the current cost of living pressures.

“The payment is designed to support young people with the costs of starting a job by relieving financial pressures, as they wait for their first pay cheque.

“We are also helping young people to access education and employment by providing free bus travel to all under 22 year olds. This will help young people travel sustainably, while cutting commuting costs for people starting a new job – meaning that young people can use their Job Start Payment to pay for other costs.

“I would encourage anyone who thinks they may be eligible to find out more from Social Security Scotland and apply for this benefit, which is only available in Scotland.”

Job Start Payment is available to eligible young people who have been offered a job after being out of work for at least six months to the day they were offered the job and are in receipt of a qualifying benefit.

Care leavers can apply for a further year, up to the day before their 26th birthday, and only need to be out of work and in receipt of a qualifying benefit on the day of their job offer.

Young people can find pre-application advice for Job Start Payment, which includes eligibility and award amounts, and apply at the mygov.scot website.

Royal Bank of Scotland’s Report on Jobs reveals hiring activity slowdown

Hiring activity slows notably amid steep decline in staff availability 

  • Slowest increase in permanent placements since February 2021 
  • Temp billings growth falls to four-month low 
  • Permanent candidate availability contracts at record rate 

May data signalled a further increase in recruitment activity across Scotland, according to the latest Royal Bank of Scotland Report on Jobs survey.

However, the rate of expansion slowed noticeably on the month, with permanent placements and temp billings rising at the weakest rates in 15 and four months, respectively.

This coincided with a further rapid decline in candidate availability, with permanent staff supply falling at an unprecedented pace in May, while vacancies continued to rise strongly. As a result, wage pressures remained intense. 

Permanent placement growth slips to 15-month low in May 

The number of permanent staff appointments across Scotland rose for the seventeenth successive month in May. Anecdotal evidence indicated that increased client activity and improved market conditions resulted in higher permanent placements. Though sharp and comfortably above the series average, the rate of growth eased for the second month running to the weakest since February 2021.  

Moreover, the latest upturn in permanent staff appointments across Scotland was slower than that seen at the UK level for the first time in five months.  

Scottish recruiters noted a marked rise in temp billings during May, thereby extending the current sequence of growth to 21 months. Recruiters often attributed the latest increase to strengthening client demand and the resumption of projects previously on hold due to the pandemic. However, the respective seasonally adjusted index declined from a seven-month high in April, to signal the slowest upturn in four months. The expansion was also softer than the UK average. 

Record contraction in permanent staff availability 

As has been the case since February 2021, permanent staff availability decreased across Scotland during May. Furthermore, the rate of reduction was the fastest on record and rapid. Panellists blamed skill shortages and a competitive labour market for the latest downturn.  

Permanent candidate numbers declined at a quicker rate in Scotland than that seen across the UK as a whole.  

Latest data signalled a sustained fall in temp candidate availability across Scotland in May. Moreover, the pace of contraction quickened for the second month running to the fastest since August 2021. Recruiters stated that robust demand for staff, workforce shrinkage (particularly a drop in European workers), and skills shortages had all reduced temp staff availability.  

The rate of decline across Scotland outpaced the UK-wide average, which in contrast eased slightly during May.  

Starting salary inflation eases to seven-month low 

Starting salaries for permanent joiners in Scotland rose for the eighteenth consecutive month in May. The pace of wage inflation eased to the slowest since October 2021 but remained steep and historically elevated. Recruiters often mentioned that a tight labour market and increased competition for staff had driven up starting pay.  

Average hourly pay rates for short-term staff across Scotland rose during May. The latest upturn extended the current run of temp wage inflation that has been observed since December 2020. According to panellists, some staff had negotiated higher pay due to the increased cost of living. Though the rate of inflation accelerated slightly since April, it was nonetheless the second softest in ten months. 

Softest rise in permanent vacancies for three months 

Scottish recruiters noted a further rise in permanent vacancies during May. The pace of growth softened to a three-month low but remained robust overall and was quicker than the UK-wide average.  

Across the monitored sectors, IT & Computing saw the fastest rise in permanent vacancies, followed by Accounts & Financials. However, the rate of increase for both eased from the preceding survey period.  

May data signalled a strong uplift in temp vacancies across Scotland. While outpacing the UK-wide trend, the rate of vacancy growth eased from April’s recent high but remained marked. The upturn also extended the current sequence of rising demand to 20 months.  

IT & Computing noted the sharpest rise in vacancies, with Blue Collar posting in second place. 

Sebastian Burnside, Chief Economist at Royal Bank of Scotland, commented:  “Scotland’s job market saw a further marked increase in recruitment activity during the latest survey period. However, hiring momentum eased for both permanent and temporary staff to the slowest in 15 and four months, respectively, as the supply of staff deteriorated rapidly.

“Moreover, permanent candidate availability fell at the quickest rate on record in May. Additionally, rising living costs and the growing imbalance between the supply and demand of labour exerted strong and sustained upward pressure on wages.  

“While the loss of hiring momentum was inevitable following the sharp rebounds in activity seen after the easing of pandemic-related restrictions, it is hoped that any slowdown will be limited as overall demand for staff remains robust.” 

Civil service cuts will be deeper than under George Osborne’s austerity

New analysis by the TUC reveals that plans by Boris Johnson’s government to cut 91,000 civil service jobs will be deeper than deepest point of George Osborne’s programme of cuts in the last decade.

The analysis looks at civil service staffing levels relative to the UK population. And it finds that if the proposed cuts go ahead the number of civil servants relative to UK people will fall below the lowest point while David Cameron was Prime Minster and Osborne Chancellor.

YearCivil servants per 10,000 people
2010 (actual)76
201659
202170
2025 (projected)56

`

The reduction from 76 civil servants per 10,000 people in 2010 to 59 in 2016 was a 22% cut to civil service staff.

The reduction now being planned from 70 civil servants per 10,000 to 56 will be a 20% cut, but starting from a lower level, and therefore reaching a lower point.

The cuts under George Osborne set a record for the smallest civil service since the Second World War. If these cuts go ahead, they will break that record.

What do civil service staff do?

The UK has just over 475,000 full-time equivalent civil servants. They work in government departments and many government agencies. This includes:

  • 56,000 staff in the Ministry of Defence, whose work has been intensified by Russia’s invasion of the Ukraine and the need to protect the UK from new security threats such as cyber sabotage.
  • 64,000 staff in HMRC who administered the furlough scheme and who protect honest taxpayers and public services by preventing and detecting tax fraud.
  • 96,000 staff in justice services, including courts, prisons, legal aid, fraud detection organised crime prevention, and victim support who protect the nation, bring criminals to justice and support victims.
  • 84,000 work and pensions staff who make sure that low-income households, disabled people and pensioners get the essential support they need to be fed, housed, warm and safe.
  • 33,000 home office staff who process passport claims, give safe haven to refugees from wars such as the conflict in Ukraine, and make sure businesses and services like the NHS have visas for the skilled workers they need.
  • Agencies that employ smaller numbers of civil servants, but that do vital work protecting the safety and interests of the public, including the Health and Safety Executive, Ofgem, Ofwat, Food Standards Agency and the Coastguard Agency.

Where will the cuts be made?

The government has not yet said where the cuts will be made, but ministers have been instructed to start identifying staff cuts of up to 40% in some departments immediately.

The TUC says that there are no easy places to make cuts without consequences that will harm UK families and businesses, and that some services may have to be stopped altogether.

There could be less resilience if a future pandemic takes place and less security against attacks on our allies or cyber-attacks on the UK by hostile countries like Russia.

There could be less safety for UK families from fraud and crime, unsafe public places and workplaces, and dangerous ingredients or hygiene standards in food production and services.

And there could be backlogs and delays to essential support like disability benefits and universal credit, or the issuing of vital documents like passports, driving licences and work visas.

TUC General Secretary Frances O’Grady said: “They said we would build back better. But the Conservative government has changed its tune. Now it’s cut back harder – with cuts that go even deeper than George Osborne’s.

“It’s like Russian roulette. We don’t know which central government services will take the hit. But if these damaging plans don’t change, we know there will be harm to families and businesses that depend on services.

“Osborne’s cuts made the nation less resilient when we were hit by the pandemic, because he scrapped staff responsible for emergency planning and public health. The price was too high. We cannot make the same mistake again.”

Mike Clancy, General Secretary of Prospect, said: “Areas of the civil service and its agencies are already struggling with increased duties following Brexit and Russia’s invasion of Ukraine.

“We have seen imports going unchecked because of a lack of capacity and an increasing mismatch between the size of the armed forces and the vital civilian support staff who help them to operate effectively.

“Cuts of this magnitude will have a huge impact on institutional knowledge, the balance of experience within the workforce, overall capability in vital areas and ultimately will leave the country less secure. The government must think again.

“It is also unclear whether existing funded vacancies will be filled, further reducing capacity.”

FDA Assistant General Secretary Steven Littlewood: “We are still dealing with the consequences of the cuts leading up to 2016 in areas like the justice system, where there remains a historically large backlog of cases.

“It’s clear from the TUC’s research that in terms of providing services to the population, the government proposals actual go beyond where we were in 2016 and will lead to the lowest number of civil servants per head since World War Two.

“Given the new responsibilities the government has post-Brexit for areas like borders, customs and agriculture it is impossible to see how it can provide the services it currently is with the proposed job losses. The government needs to be honest about what services it would cut if it reduces numbers.”

PCS general secretary Mark Serwotka said: “Making cuts will only make things worse, make waiting lists longer for those seeking passports and driving licences, make telephone queues longer for those with tax enquiries.

“We shall fight for every job in the civil service. Not just on behalf of our members, but on behalf of every member of the public who relies on the services they provide.”