Department of Business cuts will lead to thousands of job losses, Labour claims

Thousands of workers face losing their jobs under planned cuts at a leading Government department, mainly based in the regions, Labour has claimed.

Around 14,000 staff work in organisations being targeted for cuts, with four out of five in the regions, all linked to the Department of Business, Innovation and Skills.

They include staff at research councils in Oxfordshire, and workers in agencies and other bodies in Leicester, Cambridge, the North East, South Yorkshire, Greater Manchester, Merseyside, Wales and Scotland, it was claimed.

Labour published details from a leaked document, coupled with answers to parliamentary questions, and warned that two thirds of the 14,000 staff could lose their jobs.

Agencies face closure or mergers, hitting towns and cities across the country, Labour claimed.

Shadow civil service minister Louise Haigh said: "It's deeply alarming that the government is considering cuts on this scale to the regional economies that are already suffering the most under the Tories.

"It makes no sense to target the services that support businesses in growing, ultimately creating and protecting jobs in the long run.

"For example, the Insolvency Service is working flat out on BHS while Business Department civil servants are in full crisis mode trying to save our steel industry. The cuts simply won't work - we need a government that invests in growth instead.

"Even worse, ministers have tried to keep the details of this plan secret, despite questioning from MPs. We need full transparency now, and it is time for a fundamental re-think on their agenda of centralisation and cuts."

Organisations facing cuts include research councils, Student Loans Company, Insolvency Service, Higher Education Funding Council for England, Acas, the Green Investment Bank and the UK Space Agency, said Labour.