Jeremy Hunt Facing Cabinet Opposition Over Plan To Cut Benefits

A senior Tory minister has said the government must be “decent and humane” amid reports that chancellor Jeremy Hunt could cut benefits in real terms in order to pay for tax cuts ahead of the next election.

Justice secretary Alex Chalk also defended the decision to increase benefits by 10.1% this year to help those on the lowest incomes cope with the cost of living crisis.

Hunt is reportedly looking at ways in which welfare payments can be increased by less than normal in a bid to raise billions of pounds.

At the moment, benefits increase by the rate of inflation – which led to them going up by 10.1% this year.

However, according to Bloomberg, the Treasury is considering putting benefits up by less than inflation next year.

On Sunday Morning with Trevor Phillips on Sky News this morning, Chalk suggested he would be opposed to such a move.

“We must do everything we can for the most disadvantaged in society,” he said.

“That’s why we put up benefits by 10.1% and universal credit and also the pension as well.

“I will want to ensure, my colleagues will want to ensure, that we are decent, humane and that we support people.”

Phillips said: “I’m taking that as a no.”

Laughing, Chalk replied: “Take it as you like.”

Chalk’s comments are a sign of the cabinet opposition Hunt is likely to face if he presses ahead with the plan.

Former prime minister Liz Truss was hit by a furious backlash from Tory MPs – including senior ministers – when she considered increasing benefits by less than inflation.

An ally of the former prime minister said: “This was very much part of Liz’s plan to kick-start economic growth last year: she wanted to raise benefits in line with wages, not inflation – a move that was calculated as likely to cut at least £6 billion off the benefits bill.

“Yet a significant minority of her parliamentary colleagues refused to go along with it, including a number of people holding senior roles in the current cabinet.”