Approximately 5000 Civil Servants Expected to Leave Through Voluntary Exit Schemes by March 2026

The Cabinet Office permanent secretary and civil service chief operating officer, Cat Little, has confirmed that approximately 5,000 officials are expected to depart the civil service under voluntary exit schemes currently being implemented across government. Speaking before the Public Administration and Constitutional Affairs Committee, Little disclosed that 36 voluntary exit schemes are presently in operation, with exits anticipated by the conclusion of the 2025-26 financial year.

Appearing alongside Darren Jones, the chief secretary to the prime minister, Little outlined the strategic approach underpinning these workforce reductions. The focus remains on reducing staffing levels within administrative and back-office functions whilst safeguarding frontline citizen services. Departments have been directed to meet budgetary requirements over the next two years through these measures, with work already under way across government.

The Cabinet Office is providing oversight of all voluntary exit schemes, working in partnership with departments to ensure a comprehensive understanding of implementation processes and skills retention outcomes. Little emphasised the importance of protecting digital capabilities and critical service functions when departments design and administer their voluntary exit programmes.

Regarding the possibility of compulsory redundancies, Little clarified that Civil Service Compensation Scheme guidance mandates departments to exhaust voluntary exit processes before considering compulsory measures. A review of whether such steps might be necessary will be conducted at the conclusion of the current financial year.

Addressing concerns about potential talent drain, Little explained that departments possess the flexibility to structure voluntary exit schemes according to their specific operational requirements. She cited the Cabinet Office’s recently concluded scheme as an example, noting that eligibility criteria were carefully defined to exclude digital experts, high performers, and individuals working on government priorities. Each department maintains autonomy to establish similar protective parameters based on their particular business needs.

Jones contextualised the workforce reductions within broader efficiency objectives, arguing that whilst headcount and cost reductions are necessary given current economic constraints, the more significant challenge concerns state productivity. He emphasised that improvements in skills development, training provision, and digital transformation represent the ultimate objective, alongside strategic considerations about geographical distribution of civil service functions beyond London.

Little also provided an update on the civil service strategic review, indicating publication is expected within the next three to six months. The review will contain detailed information about the source of the 16 per cent administrative savings departments have been tasked with achieving, including specific full-time equivalent reductions.

The workforce reduction programme forms part of the government’s wider efficiency agenda, requiring departments to operate within tighter fiscal parameters whilst maintaining service delivery standards. The voluntary approach aims to manage workforce transitions in a manner that preserves institutional knowledge and critical capabilities whilst achieving necessary cost savings.