Andy Burnham should not accept the “extraordinary” explosion in Personal Independence Payments and other disability benefits, one of the country’s most eminent economists has said.
Paul Johnson, the former director of the Institute for Fiscal Studies, said the Government should aim to reduce the “huge” amount spent on the benefits, suggesting a “tightening” of PIP criteria as one option to rein in costs.
He suggested that the new Chancellor John Healey might have to increase taxes in October’s Budget– with capital gains tax a leading contender – but urged Healey to scrap or “significantly” cut stamp duty.
Shorts
Johnson was the longest running director of the IFS, leading the respected financial think-tank, for 14 years between 2011 and 2025.
