LIVE VIDEO: WLBZ NEWS CENTER 2 at 5    Watch
 

New England braces for federal spending cuts

1:25 PM, Feb 19, 2013   |    comments
  • Share
  • Print
  • - A A A +

BOSTON (AP) - Defense contractors, medical research facilities and social services providers are among those in the New England region sounding the alarm over looming federal spending cuts.

Officially known as the sequester, $85 billion in automatic reductions would be triggered on March 1 absent a deal involving Congress and the White House. The cuts would be split equally among defense and non-defense programs, with some exemptions including Social Security and Medicaid.

James Brett, president of The New England Council, said the region's defense-related industries could see a loss of $300 million in federal funding at a cost of about 3,300 jobs in the first year of the sequester.

Hospitals and medical schools say an 8 percent cut in research grants from the National Institutes of Health could also lead to the loss of thousands of jobs.

(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

Most Watched Videos