Vincent Cable believes the cap could save �4bn
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The Liberal Democrats say they would cap public sector pay rises at £400 a year for two years if they were elected to power at the next general election. Treasury spokesman Vincent Cable said it would save £4bn over two years, and be part of a package of measures to get the UK's public finances back on track. Labour plans a pay freeze for 40,000 senior public servants in 2010/11. The Tories plan a one-year pay freeze for public sector workers earning over £18,000, except military personnel.
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