Benefit freeze considered as Osborne seeks more welfare cuts

The coalition is examining plans to save billions of pounds by imposing a two-year freeze on some benefits, as George Osborne tries to cut welfare costs by £10bn by 2016.

As the Child Poverty Action Group warned that poor families could fall even further behind the rest of society, government sources indicated ministers were bracing themselves for "tough choices".

George Osborne warned in his budget earlier this year that slower than expected economic growth means he will have to find extra welfare savings to ensure other areas, such as schools and hospitals, avoid even deeper cuts.

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