Public sector strikes 'could cost UK economy £500 million'

Friday, 25 November 2011 01:02

The government has spoken out about next week's planned strikes by workers protesting over pensions, warning they will cost vast amounts of money and lower output.

As many as two million people may walk out on November 30th 2011 in a demonstration against the coalition's legislation, which will see Britons working for longer before collecting their pension and contribute more.

However, the government has insisted that it is necessary to change the system to protect the taxpayer because people are now living so much longer.

It has criticised the planned mass protest for forcing thousands of schools to close and parents to make other arrangements, which may include having to take time off work themselves.

Ministers said yesterday (November 24th 2011) that the strikes could cost £500 million in lost output.

"That is a loss we can ill afford at what is a very very difficult time for our economy overall," warned chief secretary to the Treasury Danny Alexander.

He also claimed there is "no more money on the table" to settle the rows the way the unions would like.

Prime minister David Cameron said he is doing everything he can to make contingency plans and urged parents who can to take their children to work.

"It really is irresponsible, when negotiations are ongoing, to cause strikes that will lead to the closure of most of the classrooms in our country. What is on offer is an extremely reasonable deal," he commented.

Meanwhile, chief operating officer of Heathrow airport has said passengers could face 12-hour delays next week because immigration officers will not be working, despite civil servants having been asked to volunteer to take their places.

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