Chancellor George Osborne will outline £11.5bn worth of government cuts in his Spending Review later today.
The review, which covers the 2015-16 financial year, will be revealed at 12:30pm in the House of Commons.
Spending on the NHS, schools and foreign aid are expected to be protected.
But most government departments and local authorities are facing cuts of between 8 and 10 per cent in their budgets.
Mr Osborne will also announce billions of pounds worth of investment in roads, railways and housing in an attempt to boost economic growth.