Benefit shake-up to get people back to work postponed to free up cash for tax cuts in Budget

A BENEFIT shake-up to get people back to work was postponed to free up cash for tax cuts.

Jeremy Hunt considered using his Budget to speed up moving the long-term sick to Universal Credit.

PA

Jeremy Hunt considered using his Budget to speed up moving the long-term sick to Universal Credit[/caption]

Alamy

Iain Duncan Smith says reforms are needed to get 5.2 million people back working[/caption]

They are currently on employment and support allowance.

But ministers want them switched because with UC they would receive more checks and help from job coaches.

The Chancellor had thought about bringing forward the move from 2028 to next year in his March 6 Budget.

But he is understood to have shelved the plan because of the cost.

Mr Hunt is under pressure from Tory MPs to deliver a tax-cutting “sugar rush”.

And he is trying to find as much cash in the piggy bank as possible to pay for giveaways.

He is weighing up whether to cut 1p off income tax or National Insurance contributions.

Tory MP and former party leader Iain Duncan Smith — the architect of Universal Credit — says reforms are needed to get 5.2 million people back working.

He said: “It’s not just for the country but for themselves.

“If you have anxiety or depression it’s better for your health to be in work. It’s not good to be stuck at home.”

The Chancellor will have crunch meetings with PM Rishi Sunak soon to put the final touches to his Budget.