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Budget 2010: Public-sector pay and pensions to be cut

The chancellor has confirmed cuts in public-sector pay and pensions in his Budget Speech.

Speaking this afternoon in the House of Commons, Alistair Darling promised cuts in the pay bill of senior civil servants as well as cuts in public-sector pensions.

He added that a third of civil servants would be moved out of "expensive London offices" in a bid to save on public spending.

Over the next three years Darling proposed 15,000 public-sector workers would be moved out of London to elsewhere in the country.