Welfare cuts are on the way in a special budget planned for Wednesday July 8th where Chancellor George Osbourne is expected to explain where the £12bn of welfare cuts are going to come from. This budget will only last till the end of the current year.
So far only £2bn in cuts have been identified.
After the 2010 General Election, Mr Osbourne’s first budget was held on the 22nd June, just 90 days after his predecessor Alistair Darling had delivered his own economic programme.
On a more positive note there are plans to create 3m new apprenticeships. However, the centrepiece of the package will be a fresh bout of austerity, with Osborne keen to get unpopular measures out of the way early in the parliament. This would give scope for pre-election give-aways later.
Provided the economy performs in line with forecasts made by the independent Office for Budget Responsibility, borrowing will be reduced to £41bn in 2016-17 and £14.5bn in 2017-18. By 2018-19, the plan is for the UK to be running a budget surplus of £4bn.
This budget will be looked on with trepidation by many, it is still hard to see where such cuts can be made without causing severe hardship.
Leave a comment
Make sure you enter all the required information, indicated by an asterisk (*). HTML code is not allowed.
Join
FREE
Here
