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Rachel Reeves ‘set to impose further welfare cuts worth £500m’

The Office for Budget Responsibility is said to have rejected the Treasury’s saving estimates from last week’s welfare cuts, paving the way for even more difficult choices



Rachel Reeves is reportedly planning an additional £500 million in welfare cuts after the OBR challenged the Treasury's initial savings estimates from previously announced welfare reforms. These new cuts may involve freezing universal credit incapacity benefits and slightly reducing the basic rate of universal credit. These measures follow earlier cuts to disability benefits and universal credit, prompting concerns about their impact, with experts warning of potential premature deaths.

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