The sad fact is Government don't make cut backs, they have no money, they earn no money, therefore they can't save money.
All money the Government play with is ours, regardless of what tax or charge you like to name it's all our money and they simply spend it for us, increase the tax we pay and there is more money to spend.
Throw extra money at this or that and taxes have to rise to pay for it, how we decide what the money is spent on is another question based on our own preferences.
This is a problem of successive Governments since the 60's running down our manufacturing industries and therefore our ability to bring foreign money into Britain, instead we have borrowed from the IMF/EU and now have to suffer the consiquence.