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Confirmed: Osborne will cut benefits further - Carers UK Forum

Confirmed: Osborne will cut benefits further

Discuss news stories and political issues that affect carers.
I have been out most of today with our R. Came home to news about benefits being cut further

The Times is reporting on its front page that Ian Duncan Smith and Osborne are planning to stop the annual increase in benefits to keep place with inflation, in order to pay for a plan to scrap the 3p litre rise in petrol due in January.

For 20 years benefits have been increased in April based on the previous September's inflation figures.-this will cut benefit receipients on carer's allowance, JSA and Income Support around £50-100 per year.

No link to use as you need be a paid subscriber.

I found this discussion about it though
George Osborne is planning to cut benefits further in order to fund a cut in fuel duty, the Times (£) reports today.

We have pointed out a few times that Osborne was mulling over a way to cut benefits further after CPI inflation jumped to 5.2%. Normally, that meant benefits had to rise by the same per cent.

But Osborne is planning to change the rules again, after already reducing them earlier (by linking them to the lower CPI rate of inflation, than the higher RPI rate).

Instead, welfare benefits will only be raised in line with a ‘six month inflation average’ – currently at 4.5%.

That will save them just under a billion pounds.

The money will be used to cover the shortfall once the govt abandons the coming 3p rise in fuel duty.

Once again, the most vulnerable in society, including the million unemployed youth, will bear the brunt of this move.
Any thoughts......???
So I have to lose out to help car drivers....wonderful!(Not!)
At the moment we dont know , it looks more and more likely that Osborne / Alexander will not use the 5.2% September inflation figure for the benefits rise due in May .over the last few weeks we have had many conservatives preparing the road for Osborne even tonight on any questions the 5.2% or the average 2.5% rise in benefits was raised one tory said "state retierment pensioners deserve the 5.2 % rise " the opinion of many is that with workers facing job loses and a pay freeze or if lucky a below inflation rise- average 2.4% why should someone on benefits receive a 5.2% benefit rise .. we have in place a set of rules that determine the level of benefits that should be awarded next May that is the September inflation figure which is 5.2%.. should state retirement pensioners only be awarded the 5.2 % benefit rise ? from a personal point of view war widows who also have a state retirement pension would be disadvantaged they have a reduced state pension of about £12 per week therefore they would receive 5.2% on the £12 and 2.5 % on the rest of their war widows pension ...war disabled pensioners retired or not would see their pension rise halved under the "new average inflation rise "
what of the carers we have about 550-000 carers who receive the carers allowance many also claim other benefits some like myself dont but take the cares allowance alone to many it is a lifeline i would have struggled without the allowance just a year ago, at 5.2% the rise would be about £11-50p per month if the rise is reduced to 2.5 % near enough £1-50 per week whats that a loaf of bread or a coffee at Weatherspoons .....and what of next year?? inflation it is said will be at 2% by September ( which is what we use for benefit rise ) but under the new average rule we may have to look at the six months inflation figure which may give us an inflation average of well over 2% ..i have no doubt that next year he will return to the September figure if the average is much higher ....George , George, George you cynic ...
surely not even the tory boys and their sidekicks the lib dems would do such a thing ..i have been posting about the average rsie in benenfits for 3 weeks now on the con & lib dem sites a few people agree to change the rules mid race is wrong but if it is to reduce the fuel costs who knows ..not one reply from the carers on this forum re the changes to the benefit rise from 5.2% to the average 4.6 or even as rumoured 2.5% .....
by g.herschel » Sun Nov 06, 2011 11:48 am

Ministers are considering alternatives to an inflation-linked rise to benefits, government sources have said.

Benefits are due to go up by 5.2% from next April, in line with September's inflation figures.

But the government is worried about the cost of such hikes and the impact on public opinion given the current low wage increases.

Sources would not say what other options were being considered instead of an inflation-linked rise. It is not thought that any change to the planned 5.2% rise in pensions is being considered.

The BBC News channel's chief political correspondent Norman Smith said one possible option could be raising benefits in line with the average inflation rate for the year, rather than the September figure.

The Financial Times is reporting that Chancellor George Osborne has asked officials for alternative models, including a rise in line with average earnings growth of about 2.5% or freezing some payments.

It is understood the government will have "resolved" the options by early December when the uprating of benefits is presented to Parliament.

The Institute of Fiscal Studies has calculated that the 5.2% September inflation figure will add £1.8bn to welfare spending next year.

It said freezing all benefits and pensions would save about £10bn and linking benefits increases to wage rises would save £5bn.

A further option of switching from the September inflation figure to an average inflation figure calculated over six months could save about £1.4bn, the IFS added.
..not one reply from the carers on this forum re the changes to the benefit rise from 5.2% to the average 4.6 or even as rumoured 2.5% .....
Could that be that until it is either confirmed or unconfirmed by government it is, to use your own word, rumour? And now you have a reply Image .
September has always been one of the lowest inflation months - if not the lowest - because it signals the end of the holiday season when consumer spending drops significantly. I'd be amazed if that wasn't why the month was chosen in the first place.

This government won't be satisfied until people on benefits have wallets as empty as politician's promises.
is it still not a rumour ?? if we only talked of "benefits/alowances " that have been changed and are law - to late-..we must talk and inform one and all of what we understand is about to or may be about to happen even rumours are important to us we know how they work drip , drip , drip and then the flood of changes ...." not one of my constituents complained of such a change" said one M.P. ...many of us could live with the average rate 4.5% but we have thousands on benefits who can not, i wonder how many of them even know what the government have in store for them ..if the cut in benefits is for fuel duty to be cut how many on benefits will benefit from that not many for sure ...
If anyone wants their MP to take them and their concerns seriously I would have thought that a few well-reasoned, targeted emails/letters, etc. about policies which have been announced would be infinitely more effective than flooding his/her inbox with concerns which are based on supposition and rumour but perhaps I am wrong?