Tax hikes or spending cuts would be needed for the Government to end public sector pay disputes and crippling strike action despite the UK being on course to borrow more than 30 billion less than forecast this year, according to a report.The Institute for Fiscal Studies (IFS) think tank has warned that short-term savings from the energy support scheme looking less costly than first feared, together with an improved economic outlook, are not set to pave the way for the Government to hike public sector pay to match inflation.
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