Public sector strikes ‘risk to recovery’ says Maude

Cabinet Office Minister Francis Maude said there was a danger strikes by up to two million workers would send the economy into reverse in regions heavily dependent on the public sector.

Mr Maude launched a staunch defence of the Government’s position as he insisted the strikes are “not of our making” and said the closure of schools should not be allowed to deter private sector employees from going to work.

But union leaders warned of further industrial action in the new year if the dispute is not resolved, suggesting “rolling programmes” of action across the country.

Asked about the threat to the region’s economy, Mr Maude said: “The loss of a day’s pay means less spending power in the economy and that will impact the economy for sure.

“The Treasury have estimated the national effect of the strike could be to cut output by as much as £500m. Lost output is lost output. Some of it may be regained later, but much of it won’t.”

Tomorrow’s action from workers ranging from lollipop ladies and refuse collectors to headteachers and nuclear physicists, comes amid anger over proposed changes to public sector pensions which the Government says are necessary to make the system affordable.

Mr Maude’s comments came as Education Secretary Michael Gove sparked outrage by accusing union “militants” of “itching for a fight” and wanting to “wreck” economic recovery and cause public misery.

Unions said many workers in tomorrow’s walk-out would be striking for the first time in their life, adding that the Government was becoming “desperate” because it was losing public support.

Unison leader Dave Prentis said there was “absolutely no chance” of reaching a deal in the next few days over the Government’s controversial pension reforms, announcing that the union had doubled its recruitment in recent weeks as a result of the dispute.

Mr Maude praised the “dedication and commitment” of public sector workers in Yorkshire but reiterated a warning that the Government could withdraw its latest offer if unions do not agree to it by the end of the year.

Asked whether parents whose children’s schools are closed should try to go to work, he said: “I would strongly urge them to go to work one way or another.”