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"As chief secretary, I was having a terrible time doing what I didn’t go into politics to do — cutting public expenditure. And I was having meetings with every departmental minister about their budget. They all wanted more money — Tony Benn and Barbara Castle more than most. I decided that I could get rid of three Cabinet ministers — the secretaries of state for Scotland, Wales and Northern Ireland — if I could settle on a formula for their budgets. So I set up this method for allocating public expenditure that the Cabinet then agreed to."
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