Luxury discounts to push 250,000 people to poverty, and government evaluation shows

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A quarter of a million people, including 50,000 children, will be pushed to relative poverty as a result of the reforms of Sir Kerr Starmer, according to the evaluation of the impact of the government on Wednesday.

The government also estimates that about 800,000 people will lose deficit benefits, also known as PIP, although individuals will lose at an average of 4,500 pounds annually by 2029-30.

Last week, the Minister of Labor and Pensions, Liz Kendall, revealed a set of social welfare reforms that included the tightening of PIP and reduced the highest rate of normal benefits in half, which sparked a violent reaction from the work deputies.

However, its announcement did not include an evaluation of the effect that shows the number of people who will be affected by measures.

Those numbers, published on Wednesday alongside Rachel Reeves“Spring statement, about 370,000 people are currently receiving disability benefits that they will not obtain when they are re -evaluated. He added that nearly half a million claims in the future will not be entitled to them either.

Meanwhile, about 2.25 million people will currently be affected by receiving the benefits of the deficit, known as global credit, to freeze prices, and on average £ 500 annually.

In addition, three quarters of a million future futures of interest will lose about 3000 pounds annually due to the government’s decision to cut benefits to half for new demands.

The UK government determines relative poverty as families less than 60 percent of average income.

Starmer was hoping that the changes announced last week would be born about 5 billion pounds from savings annually by the end of the expected period, but the budget responsibility office refused to “register” many proposed changes, claiming that the government did not provide sufficient details about policy proposals.

Creating the conflict is political chaos just hours ago The advisor put the spring statement to it.

Kendall was forced to find additional discounts in emergency situations, including freezing to the average normal benefits, which led to an increase in anger from deputies who reassured that social welfare reforms were not a purely engine.

“Everything looks like a loose,” said one of the people who looked at the preparations of the statement. “It was very messy.”

Obr On Wednesday the estimated The total package of luxury measures will provide 3.4 billion pounds by 2029-30, after size in new spending on job support and management of the social welfare system-although it stressed that his estimates were very uncertain.

The Financial Supervision Authority said that this net savings number includes a 3 billion pounds reduction to spend on regular advantages – of which 1.6 billion pounds were allocated and that would have been saved by the previous conservative reforms that the current government delivered.

It also includes a reduction of 4.1 billion pounds in spending on the advantages of deficit. Meanwhile, the most generous interest rate of the unemployed will add 1.8 billion pounds to spending by 2029-30.

However, OBR has not yet tried to evaluate whether the changes in financial incentives and the intensification of job support will bring more patients and disabled people to work in the long term.

He said that there were not enough details about politics plans to form a point of view, but I noticed that the people concerned “generally may restrict the ability to work and may have been outside the labor market for some time.”