Is the Chancellor robbing Peter to pay Paul?

The Chancellor has announced an extra £2 billion in funding for the NHS. Credit: PA

The Chancellor's £2 billion cash injection for the NHS sounds as if it's just what the doctor ordered.

But compared to the £108 billion the health service costs annually, it is a relatively modest top-up.

If cuts have to be made elsewhere, for example in local government to try to eliminate the deficit, then some health experts warn the pressure on the NHS could increase further. It's feared that elderly people who are currently looked after in the community could end up in hospital.

The £2 billion spending boost, which will be confirmed in the Autumn Statement on Wednesday, is also dwarfed by the amount the Government spends on interest payments each year - currently £55 billion.

The Institute for Fiscal Studies has warned that the cuts in the next Parliament could be 'even bigger' than in this one.