Government 'planning new benefits cut'

Ministers are considering slashing £71-a-week from the income of sick and disabled benefit claimants if they refuse to take part in work-related activities, it was reported last night.

The move planned by the Department for Work and Pensions (DWP) is designed to reduce weekly Employment Support Allowance by up to 70 per cent to those who won't try to get back into the workplace, according to The Guardian.

The cut would represent more than a doubling of the current maximum penalty of £28.15 that can be imposed. A leaked draft letter to claimants warns claimants money will be lost if they fail to "attend and take part in work-focused interviews" or to "carry out work-related activities that your adviser asks you to do, without a good reason".