Basing its projections on the total government paybill and paybill per head, it forecast a reduction of 710,000 between the Q1 2011 and Q1 2017, compared to the 400,000 previously forecast between Q1 2011 and Q1 2016.
However, it expects market sector employment to rise by around 1.7 million between Q1 2011 and Q1 2017.
The Treasury’s autumn statement document said there is evidence the public sector has “frontloaded” job losses.
In autumn statement Chancellor George Osborne announced that public sector pay increases will be capped at an average of 1% for the two years after the current freeze comes to an end.
He also issued a last-minute warning to public sector workers to call off strikes and “come back to the table” to negotiate the reform of their pensions.
