Budget 2012: Further cuts to welfare costs

clock

The Government is set to curb welfare bills by £10bn over the next four years.

Chancellor of the Exchequer, George Osborne, said in today's Budget speech's opening remarks that, despite the passing of the Welfare Reform Act, the welfare budget is set to rise to consume one third of all public spending.

He added: "If nothing is done to curb welfare bills further, then the full weight of the spending restraint will fall on departmental budgets.

"The next Spending Review will have to confront this.

"So I am today publishing analysis that shows that if in the next Spending Review we maintain the same rate of reductions in departmental spending as we have done in this review, we would need to make savings in welfare of £10 billion by 2016."

He added that the Government was set to publish a white paper on social care, as it addressed the rising costs of an ageing population, and the burden this places on future generations.

More on Group Protection

Economic inactivity falls 0.4% in H1 2025

Economic inactivity falls 0.4% in H1 2025

Lowest figures since pandemic

Cameron Roberts
clock 13 August 2025 • 3 min read
UK unemployment rate increases in June as vacancies drop

UK unemployment rate increases in June as vacancies drop

Wage growth has remained strong

Sorin Dojan
clock 12 August 2025 • 2 min read
Employers unsure how to adapt to multigenerational workforces

Employers unsure how to adapt to multigenerational workforces

Canada Life research findings

Jaskeet Briah
clock 01 August 2025 • 2 min read

Highlights

COVER Survey: Advisers damning of protection insurer service levels

COVER Survey: Advisers damning of protection insurer service levels

"It takes longer than ever to get underwriting terms"

John Brazier
clock 12 October 2023 • 5 min read
Online reviews trump price for young people selecting life and health cover

Online reviews trump price for young people selecting life and health cover

According to latest ReMark report

John Brazier
clock 11 October 2023 • 2 min read
ABI members with staff neurodiversity policy nearly doubles

ABI members with staff neurodiversity policy nearly doubles

Women within executive teams have grown to 32%

Jaskeet Briah
clock 10 October 2023 • 3 min read