Seven Government departments have provisionally agreed to reduce budgets by up to 10% as part of Treasury plans to cut 2015/16 spending by £11.5 billion, Chancellor George Osborne said.
ITV News political correspondent Carl Dinnen reports:
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Shadow chancellor John McDonnell has backed a free vote for MPs on the issue.
Savers into the new scheme can expect rates as high as 4 per cent from some banks.
Very windy with gales possible