Whitehall turmoil over Osborne's £10bn welfare 'cut'

 
29 March 2012
WEST END FINAL

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George Osborne’s plan to cut the welfare bill by an extra £10 billion has sparked turmoil in Whitehall.

Employment minister Chris Grayling appeared to hit back at the suggestion the Department for Work and Pensions might have to make all the savings.

The Chancellor, in his Budget speech, said £10 billion more welfare savings — on top of £18 billion already announced — would be needed if spending levels at other departments were to be maintained.

But Mr Grayling told the Financial Times: “What the Chancellor did in his Budget was set out a framework for government as a whole and that £10 billion is a figure that applies across government.”

His aides denied a rift with the Treasury.

Treasury insiders played down the idea that the Department for Work and Pensions was seeking to lay down a marker for future Budget talks.

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