Labour has moved to support the Government's plan to reduce the benefit cap to £23,000, according to a statement by interim leader Harriet Harman.
Responding to the Queen's Speech in parliament today Ms Harman said her party was "sympathetic" to cutting the maximum amount a family can be paid in benefits by £3,000 but outlined several caveats.
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"We support a cap on household benefit entitlement. The government are now planning to reduce it and we are sympathetic to that but it makes it even more important that the jobs are there for people to move into, the childcare is there, particularly for loan parents and there are adequate funds for discretionary housing payments," she said.
"All that is necessary to make sure that this doesn’t put children into poverty, increase homelessness, or eve up costing more than it saves."
Labour previously said it supported a cap but would set up a general commission to look at whether the cap would be lower in some areas.
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