Cuts to push 250,000 into poverty as living standards for the poorest under continuing assault

Responding to the Chancellor’s Spring Statement and the publication of the government’s impact assessment for their planned cuts to disability benefits, Paul Kissack, Chief Executive of the Joseph Rowntree Foundation said:

“The Chancellor said today that she would not do anything to put household finances in danger, yet the government’s own assessment shows that their cuts to health related benefits risk pushing 250,000 people into poverty, including 50,000 children. This will harm people, deepening the hardship they already face.

“The Chancellor also said the world has changed, and today’s announcements places the burden of that changing world on the shoulders of those least able to bear the load – the 3.2 million families left worse off by these cuts.

“With living standards for the poorest under continuing assault, the government needs to protect people from harm with the same zeal as it attempts to build its reputation for fiscal competence.”

Key points from impact assessment:

• 250,000 people could be pushed into poverty, including 50,000 children
• 800,000 will lose money from PIP according to the OBR, and almost half will be from reassessments
• 3 million will lose money from changes to the main health element of Universal Credit, £500 a year for existing claimants, and £3,000 for new claimants
• £500 million will come out of the carers benefits bill as 150,000 lose carers allowance or UC care element