‘UK welfare cuts are nonsense’

A source close to Work and Pensions Secretary Iain Duncan Smith has described proposals put forth by Steve Hilton, Cameron’s policy chief who left his post for one-year sabbatical in California, as “nonsense”.

The proposals suggest that welfare benefits could be slashed by another £25bn by stopping young unemployed people from claiming housing benefits and cutting housing benefit for those who live outside London, reported the Financial Times.

“We have already cut £18bn from the welfare bill. How does he imagine we can cut another £25bn? This is utter nonsense, the figure is ludicrous,” the newspaper quoted the work and pensions department source as saying.

The British government already plans to save an annual £18bn in benefit payments by 2014-15 by imposing a cap on housing benefit and paying less money to disabled people.

Earlier this week, a row also broke out between the head of the civil service Sir Bob Kerslake and ministers over proposals to cut the number of public sector workers.

The Mail reported Hilton, who is reportedly intent on cutting the number of civil servants by 90%, was so frustrated that he stormed out of the meeting with Kerslake.

ISH/JR/HE

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