Lib Dem success: Osborne set to drop plan to end housing benefit for under-25s

2 December 2012 , , , ,

The Guardian reports:

David Cameron’s plans to end housing benefit for under-25s look set to be omitted from George Osborne’s autumn statement this week after a Lib Dem revolt against more draconian benefit cuts.

Government sources suggested that the idea, floated by the prime minister in June as a way to trim a further £2bn off the benefits bill, has been fiercely opposed by the Lib Dem leader, Nick Clegg, and the Treasury chief secretary, Danny Alexander.

In another sign of wrangling between the coalition parties before Wednesday’s statement, plans by Osborne to announce a freeze on all working-age benefits have also run into intense Lib Dem opposition.

It is expected that while Osborne will move to slash the benefit bill by several billion, he will stop short of an outright freeze after strong Lib Dem objections.

Last night Greg Mulholland MP, who co-chairs the Lib Dems’ work and pensions policy committee, said his party accepted the need to make further savings where possible but there were “red lines” it would not allow to be crossed.

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John Alexander Innes
John Alexander Innes

Success? Cutting back the excessive welfare expenditure is actually one of the few areas where I as a Lib Dem find myself in agreement with the Coalition these days. As for another coalition with the Tories.... no way Jose!

Ken Ashworth
Ken Ashworth

Agree with this. There are many situations where those in their teens and early 20's can no longer live with their parents. In addition, with non-dependant deductions reducing benefit for most over 18's who live in a household you would be penalising everyone concerned. Good work Lib Dems.

Mark Pack
Mark Pack

How is saying to under-25s "you must live with your parents come what may" cutting back excessive expenditure? If you're 24, say, you're an adult and should be treated as such.