UK government department budgets to rise by 2.3% a year, Reeves says

LONDON (Reuters) -British finance minister Rachel Reeves said the government’s departmental budgets will grow by 2.3% a year in real terms, as she laid out her plans to divide up more than 2 trillion pounds ($2.7 trillion) of public spending.

Reeves told parliament her fiscal rules would allow her to allocate a further 190 billion pounds ($256.3 billion) to the day-to-day spending on public services over the course of the spending review, compared with the previous government’s plans.

($1 = 0.7413 pounds)

(Reporting by David Milliken and UK bureau, writing by Sarah Young, editing by Paul Sandle)