Tory govt seeks welfare cuts and caps

Oct. 4: British chancellor of exchequer George Osborne on Monday announced a tough new cap on the total amount of welfare payments and that high-earning families will not receive child benefit payments from 2013.

Addressing the delegates at the Conservative party’s annual conference in Birmingham, Mr Osborne unveiled the Tory-led coalition government’s radical new plans to cut the ballooning benefits spending. A new £500 a week cap on welfare benefits, designed to ensure that workless households no longer receive thousands of pounds in benefits more than the average working family receives in pay, will be imposed from 2013, effectively capping total annual state benefits at £26,000.

“If the welfare state is going to gain the trust of the British people, it needs to reflect the British sense of fair play. So for the first time, we will introduce a limit on the total amounts of benefit any one family can receive; and the limit will be set according to this very simple principle: unless they have disabilities to cope with, no family should get more from living on benefits than the average family gets from going out to work,” the chancellor said.

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