DWP Denies Risk of Breaching Welfare Spending Cap

The DWP has denied that the government risks breaching its self-imposed cap on welfare spending because of the rising cost of disability benefits.  Leaked documents suggested that the government was running out of options to cut costs, while employment and support allowance (ESA) costs continued to rise. Internal government memos reportedly said that the ESA was "one of the largest fiscal risks currently facing the Government", leaving it "vulnerable to a breach" of the cap, which was set at £119.5bn for 2015-16. According to the documents, the cost of ESA was projected to rise by nearly £13bn between the current financial year and 2018-19, largely due to people moving on to the benefit from jobseeker's allowance, which has more sanctions for misconduct. Read more on the Guardian website.

Government 'Could Breach Its Own Welfare Spending Cap'

The government could breach its self-imposed cap on welfare spending as a result of the cost of the main sickness benefit, leaked documents say. Internal memos suggest Employment and Support Allowance costs are rising and few cost-cutting options are available. In March, MPs agreed a 2015-16 welfare cap of £119.5bn, excluding the state pension and some unemployment benefits. Ministers say suggestions the cap might be breached are "outrageous" but Labour says the system is at "crisis point". Read more on the BBC website.

Autumn Statement 2013: The Key Points for Housing

·         Unblocking stalled sites for housebuilding - £1bn in loans over six years to unlock sites for large housing developments.

·         Council borrowing caps raised - increased housing revenue account borrowing limit by £300m

·         Selling expensive social housing - Councils will be forced to sell expensive social housing

·         Welfare spending cap - a new cap on total welfare spending. Jobseekers allowance and state pensions will be excluded from the cap.

·         Right-to-buy expansion - The government will set aside a £100m fund to expand the right-to-buy

·         Help to Buy boost - Two further banks, Aldermore and Virgin, will sign up to Help to Buy

·         Priority 'right to move' - Employed residents who need to move for a job will be given priority

·         Capital gains tax exemptions lifted for non-UK residents  - Non-UK residents selling residential property that is not their main home will pay capital gains tax

Read more on the Guardian website.