Private sector unscathed by cuts

With the full scale of public sector cutbacks now known, up and down the country business owners and their employees want to know how they will fare during the big squeeze. Accountancy firm Deloitte has been crunching the numbers and has found the private sector will remain relatively unscathed.

Companies are set to receive a boost by the fall in corporation tax over the next five years and private firms will now have access to parts of the economy that had previously been dominated by the State. As long as interest and exchange rates remain favourable, business confidence & investment will continue to grow.

Ian Stewart is Chief Economist at Deloitte and told the BBC the private sector is in ''pretty good shape''.

  • Published
  • Section
    BBC News