Chancellor Rachel Reeves is set to make further cuts to welfare benefits and government departments in her Spring Statement on Wednesday. The government announced big welfare spending reductions last week but the chancellor is set to expand the cuts after being told reforms to the system would save less than planned. The Office for Budget Responsibility (OBR) has assessed that changes to benefits will save £3.4bn in 2029/30 rather than the £5bn claimed by ministers. The chancellor faces pressure over the performance of the economy, with growth remaining sluggish. But Reeves will argue the UK has to "move quickly in a changing world" and will confirm a £2.2bn increase in defence spending.

Source: The Times March 26, 2025 10:29 UTC