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Coalition set for new agreement on spending

Lobbyists suggest that the Conservatives and the LibDems are likely to publish a second coalition agreement aimed at further reducing public spending and promoting growth.

Cicero Consulting director and chief corporate counsel Iain Anderson says the Government has moved quickly to implement the first coalition agreement’s agenda and is in active discussions on new policies to keep the momentum going.

He says: “Active, thematic conversations are going on now. One theme is how to go further in terms of reducing the size of the public sector spend and the public sector generally. Another, and we saw this in the Budget, is what policies will drive growth. The coalition wants to show it is not running out of ideas.”

The first agreement was hammered out last May as the Tories and the LibDems formed the coalition. Anderson expects the new agreement to set the agenda from 2012.

A Liberal Democrat spokes-man says: “There are no plans at the moment for a formal coalition document part two but there is a process involving discussions between the two parties to feed in ideas for the second half of Parliament.”

The Conservative Party declined to comment.



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