UK Prime Minister Liz Truss looks to cut benefits for poor, faces revolt. See details

UK Prime Minister Liz Truss is facing the heat of a Tory revolt as she looks to cut benefits for the poor. The PM is looking to raise benefits in line with average earnings growth and not inflation. This move has raised huge concerns as it will have an impact on the cost of living crisis.

The PM, however, is confident of pushing through her tax cut agenda and other fiscal plans by convincing the opposition of the greater benefits it will bring to Britain’s economy. While she is aware of the welfare measures for the poor, she did not confirm the link between welfare benefits and inflation. PM Truss was speaking at a conference of her party in Birmingham.

Many are not convinced

The opposition is also not in sync with the PM’s thoughts and thinks otherwise. So, the benefit cuts may not go through Parliament, said Tory Damien Green. Some of the PM's party members are also uncomfortable with the support measures for the poor working class in the recent mini-budget.




Cabinet minister Penny Mordaunt felt that linking welfare measures with inflation was logical. Former deputy PM, Damien Green, thinks that it doesn't make sense to make the already struggling people suffer more. However, many other voices of dissent from within her (the PM's) party joined Green to say that the government's rescue package must do its designed job.

FAQs

1. What is the controversy about welfare measures and inflation?
   The previous government of Boris Johnson had promised that welfare benefits would be inflation-linked.
2. What are the two most important economic issues in Britain currently?
   The two most significant problems are inflation and the energy crisis (in terms of its high cost).