Duncan Smith and Osborne in 'blazing row' over welfare reforms funding
Work and Pensions Secretary Iain Duncan Smith had a "blazing grade-A row" with Chancellor George Osborne over funding for his flagship welfare reforms, according to the BBC. It has been widely reported that Mr Duncan Smith will have to find net savings of £10 billion in order to go ahead with the estimated £3 billion reforms. According to the BBC's Newsnight programme this has caused tensions between the senior Government ministers although Mr Osborne has attempted to play down any rift. The required savings have focused attention on child benefits and the winter fuel allowance which are seen as soft targets because they are paid to all who qualify, regardless of income. According to reports, the Government is considering raising the age at which people become eligible for the annual winter fuel handout from 60 to at least 66. The payment - worth £250, or £400 for the over 80s last winter - could also be cut by £50 for new recipients and £100 for the oldest. Faced with repeated questions about the fate of the benefits yesterday, Deputy Prime Minister Nick Clegg insisted no decisions would be announced until October's comprehensive spending review and he would not give a "running commentary" on the discussions. But the threat of cuts provoked anger from pensioners, the unions and Labour leadership contender David Miliband, who accused the Chancellor of "economic masochism". Dot Gibson, general secretary of the National Pensioners Convention said: "The winter death rate amongst older people is a national scandal and getting worse. "Last winter over 36,700 pensioners died of cold-related illnesses - a staggering 13 pensioners every hour. "Yet the Government is now considering taking the winter fuel allowance away from millions of households which will only make matters worse." Labour called on the coalition to "come clean" about the plans and public service union Unison's general secretary Dave Prentis warned cutting the winter fuel allowance could cost lives. The coalition agreement between Mr Clegg's Liberal Democrats and the Prime Minister's Tory party pledges to "protect key benefits for older people such as the winter fuel payment", but does not rule out reform. But Labour pointed out that Mr Cameron had explicitly ruled out scrapping winter fuel payments during the general election campaign. Shadow foreign secretary and party leadership contender David Miliband said: "Up and down Britain, pensioners rely on this benefit to get by. The payments Labour introduced mean many pensioners can heat their homes without worrying and fretting over the energy bill to come. "The Prime Minister's dishonesty is unacceptable." Mr Prentis said: "We cannot begin to call ourselves a civilised society if the Con-Dem Government allows elderly people to sit in the cold or freeze to death in their homes. "They must think again if they are seriously considering cutting these payments, particularly to the very old, because they save lives." The National Pensioners Convention also warned against changing the winter fuel allowance system. Source: 24dash.com Due to problems with spam only SalfordOnline members can now leave comments. Becoming a member of SalfordOnline only takes a minute, just hit the red Join Us button at the top right hand side of the page to create your Personal account. Got a news story? Need help with publicity for an event in Salford? Send it to newsdesk@salfordonline.com or call the SalfordOnline newsdesk on 0161 789 5377. |