Government says it is working to reduce welfare spending

Summarised from 4 outlets · 7 reports · Updated 29 Oct, 14:54 · Archive

Prime Minister Andy Burnham says the government is working to reduce welfare spending after the Office for Budget Responsibility warned sickness and disability benefits could cost £100 billion yearly.

Prime Minister Andy Burnham has insisted the government is working flat out to reduce welfare spending after the Office for Budget Responsibility warned sickness and disability benefits could cost £100 billion a year by the end of the decade. Chancellor John Healey faced repeated scrutiny from broadcasters about rising benefit costs following the Budget.

Healing told the BBC: 'There will be a reduction in the benefits bill, we'll do that in a Labour way and we'll do that because it is simply not good for Britain or progressive to have a bigger and bigger benefits bill.' However, Treasury officials later stressed he was not setting a timeframe for when this reduction would occur.

Burnham rejected what he described as 'crude cuts' to the benefits system, saying such measures would leave people in crisis and result in more public money being spent elsewhere to support them. He said the government wants to help people off benefits and into work, adding: 'We want that to happen as quickly as possible.'

The Mirror reports that Chancellor Healey deferred any major reform of the welfare system until the publication of two major reviews next month. Ex-Labour Cabinet minister Alan Milburn is set to publish recommendations on tackling almost one million young people not in education, employment or training. DWP minister Sir Stephen Timms will also present findings on his review of Personal Independence Payments, the main disability benefit.

Burnham said the Milburn report's publication is the government's big next priority. When pressed by reporters on whether benefit spending would be reduced before the next general election, which must take place by 2029, the Prime Minister declined to confirm a specific timeframe but repeated his commitment to cutting the welfare bill.

How it is being reported

• Burnham says he wants to cut welfare bill 'as soon as we possibly can'The prime minister did not outline a timetable, while opponents questioned the Budget's lack of detail on welfare reform.BBC News · 29 Oct, 15:42
• Government working flat out to reduce welfare bill, PM says after cost warnings‘We want to get the welfare bill down as quickly as possible, and we’re working flat out to that end,’ Andy Burnham said.Independent Business · 29 Oct, 14:38
• Government working flat out to reduce welfare bill, PM says after cost warnings‘We want to get the welfare bill down as quickly as possible, and we’re working flat out to that end,’ Andy Burnham said.Evening Standard · 29 Oct, 14:38
• Andy Burnham insists government working flat out to curb benefit spending - but dismisses 'crude cuts'Prime Minister Andy Burnham warns 'crude cuts' to the benefits system will just leave 'people in crisis' and result in more public money being spent elsewhere to support themThe Mirror · 29 Oct, 14:30
• Government working flat out to reduce welfare bill, PM says after cost warnings‘We want to get the welfare bill down as quickly as possible, and we’re working flat out to that end,’ Andy Burnham said.Independent Business · 29 Oct, 14:14
• Government working flat out to reduce welfare bill, PM says after cost warnings‘We want to get the welfare bill down as quickly as possible, and we’re working flat out to that end,’ Andy Burnham said.Evening Standard · 29 Oct, 13:40
• Government working flat out to reduce welfare bill, PM says after cost warnings‘We want to get the welfare bill down as quickly as possible, and we’re working flat out to that end,’ Andy Burnham said.Independent Business · 29 Oct, 13:40

In this story: Andy Burnham · John Healey · Office for Budget Responsibility · Alan Milburn · Stephen Timms · Derby

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