Civil Service credit cards frozen in spending crackdown

Civil servants are facing a widespread freeze of their government procurement cards this week, as the Cabinet Office seeks to cut wasteful spending.
Almost all of the 20,000 cards will be suspended, requiring holders to reapply and justify their necessity or face cancellation.
The move follows a dramatic increase in spending, from £155 million in 2020-21 to £675m in 2024-25, with examples including significant purchases from luxury shops and DJ equipment suppliers. Chancellor of the Duchy of Lancaster, Pat McFadden, emphasised that the cards should only be used when “absolutely essential,” with exceptions for diplomatic staff in high-risk locations.
The UK government aims to reduce card usage by at least 50%, implementing stricter spending controls. Hospitality spending will be capped at £500, with higher amounts requiring director general approval. Furthermore, cards will be prohibited for standard goods and services already covered by UK government contracts.
This clampdown comes amid concerns over misuse, including expenditure on luxury items, unnecessary stationery purchases, and expensive training courses.