Stop benefits increasing by CPI in April 2012

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Stop benefits increasing by CPI in April 2012

Additional Information

In April 2012 working age benefits will increase by 5.2%. This is compared to wage inflation of half that amount. Unemployment is rising which will exacerbate the cost of this action. Benefits rising faster than wages increases the disincentive to work.
Finally the cost of this will fall on a dwindling number of already stretched taxpayers, who frankly have had enough.
The proposal is that the government can keep the CPI link, but should cap it at the wage inflation rate in years when wage inflation is lower.

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