Osborne announces $250b cap on UK welfare spending
Published on Mar 19, 2014 9:14 PM
LONDON (REUTERS) - Britain will cap the amount of money it spends each year on welfare at 119 billion pounds (S$250 billion) in the 2015/16 fiscal year, finance minister George Osborne said on Wednesday.
Making his annual budget statement to parliament, Osborne said the cap will rise with inflation, and would exclude pensions and some unemployment benefits.
The government has previously said it plans to cap welfare spending but had not set a level. Osborne has said further cuts to welfare would be needed after the election in May 2015 if Britain is to wipe out its budget deficit.