Cuts 'set to cost 1.3 million jobs in five years'

Government estimates show that 1.3 million jobs will be lost over five years as a result of the spending cuts announced in the budget, it has been reported.

A Treasury assessment of the cuts leaked to the Guardian shows that it is predicting 120,000 public-sector jobs and 140,000 private-sector jobs will disappear annually for the next five years, the newspaper claims.