If the Conservatives win the next election they will freeze most working age benefits for two years from April 2016, the chancellor George Osborne has announced. Disability benefits, including personal independence payment and disability living allowance will not be affected, however. The chancellor also announced that those who inherit large sums in pension funds are to be given a tax cut.{jcomments on}

Benefits that will be frozen include:

  • The work-related activity component of employment and support allowance
  • Jobseeker’s allowance
  • Local housing allowance
  • Universal credit
  • Tax credits
  • Child benefit
  • Income support

Benefits that will not be affected include:

  • Disability living allowance
  • Personal independence payment
  • Maternity and paternity pay
  • Statutory sick pay
  • Statutory adoption pay

Osborne expects to save up to £3.2bn a year from these cuts.

Meanwhile, tax cuts for those who inherit pension funds of up to £1.25 million will cost the taxpayer around £150 million a year.


Write comments...
or post as a guest
Loading comment... The comment will be refreshed after 00:00.

Be the first to comment.

We use cookies

We use cookies on our website. Some of them are essential for the operation of the site, while others help us to improve this site and the user experience (tracking cookies). You can decide for yourself whether you want to allow cookies or not. Please note that if you reject them, you may not be able to use all the functionalities of the site.