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Welfare spending over the course of this Parliament has fallen by just £2.5bn despite reforms aimed at saving £19bn, economic forecasters say.

The Institute for Fiscal Studies (IFS) said the reasons included a rise in the cost of pensioner benefits, and an increase in housing benefit spend.

It said Chancellor George Osborne could need to make more spending cuts "just to stay on track".

According to the IFS:

It’s not all about macroeconomic conditions though. The difference between the £1.2 billion cut to DLA spending that was announced and the £1.6 billion increase in spending that is now expected reflects the significant delays to the government’s replacement of DLA with the less generous personal independence payment. And although the introduction of employment and support allowance is not included in the £19 billion of cuts (since it was announced by the previous government), it too has saved much less than expected.

More details are available from the BBC website and from the IFS website.

Comments  

+1 #3 Paul Richards 2014-11-23 12:36
Hi Gordon,
Many thanks for your commenst - much appreciated.
Just to emphasise just how bad things are becoming - you and everyone may care to have a look at this.
Of course, the Government would totally disagree and say something like 'our much needed Welfare Reforms are helping people and children out of poverty' - what total and utter rubbish!!
And to think also, recently this rotten Government said that they would like to close down the Trussell Trust, saying that there was no need for it, as there was no-one living in hunger & needing food in this Country!! (It reflects badly upon them!!)
Of course, they want to make the rich even richer and the already poor even poorer! That is their ultimate goal and achievement.

http://www.talktalk.co.uk/news/uk/article/more-low-paid-turn-to-food-banks/150737
+1 #2 gordyt 2014-11-22 00:13
Gordon T

Chancellor George Osborne could not balance a pencil in his hand without it falling off.

Well said Paul.

They need to invest in the service industry and increase pay, if they don't the working class wont have money to spend to boost spending and bring in more Tax.

Politicians its not rocket science its what you all lack is a good dose a common sense.

We the disabled , sick and unemployed are paying for the huge party the Banking Industry had, at our expense and we are suffering now and in my lifetime and the next generation and more.
+1 #1 Paul Richards 2014-11-20 20:24
Hi all,
Well - again, that is a surprise I don't think - it is very obvious that with this totally inept & incompetent Government Coalition that this was going to happen anyway.
With an economy that is now being driven by pushing people into work that is increasingly reliant upon low-paid, zero-hours contract types of work - is it any real surprise that 'Government spending' is going up through extra costs of people and families claiming Working Tax Credits and extra Housing Benefit - I really don't think so. Instead of encouraging employers to pay higher wages - because of the 'austerity' in 'bringing down of the the deficit' - this horrible Government has been forcing down wages and because of this, their tax receipts are nose diving - and they CANNOT or WILL NOT see it! If this carries on, then in my one personal opinion, then they will have little alternative then to raise taxes even more - this could have two effects - employers will not take on more people and the other, is because people are on low wages anyway - they will not be able to spend more (i.e to provide more general taxes/vat). As usual, the Government 'Eton Boys' will make the poor people poorer and make rich people richer. Victorianism is definitely back in this Country.
And the unemployed and the sick & disabled will be at the bottom of this dreadful pile as they have no-one to speak up for them.
What a disgrace that the so-called 'Disabled Charities' have allegedly 'caved-in' to Government bribes and pressure. These so called 'Disabled Charities' should be totally ashamed of themselves - allegedly receiving money from the Government to 'keep quiet' and not cause a fuss. It should be them that should be standing up for the sick & disabled - but they now seem completely compliant into agreeing that the "disabled should work if they can do so"
They have forgotten what the WCA has done to so many people!

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