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The Independent UK
The Independent UK
Business
Hazel Sheffield

Budget 2016: Three groups of people that look set to lose out in George Osborne's plans

Cuts to disability benefits, forcing schools to become academies and adding more tax onto the price of petrol and cigarettes are just some of the measures George Osborne is expected to announce in his Budget.

A faltering stock market and slow economic growth are among the challenges the Chancellor has faced since the Autumn Statement in November.

He is expected to renew his commitment to austerity – which means further pledges to “fix the roof while the sun is shining” – and make more swingeing cuts to try and clear the UK’s deficit completely by 2020.

Here are three groups of people that look set to lose out:

Those on disability benefits may see their benefits payments reduced by £55 a week.

The decision by Ministers to remove the PIP – Personal Independence Payment – benefits from more than 600,000 disabled people over the next five years, saving around £1 billion a year, is expected to be used to cut tax for the middle-class.

Local-authority run schools may be forced to become academies by 2020, according to reports.

Academies have more powers over their own budgets, curriculum, the hiring of staff, term times, and the length of school day. But Ofsted figures analysed in 2010 showed that many academies were performing worse than other local-authority maintained schools.

Drivers, drinkers and smokers may face higher duties. Drink duties are expected to rise with inflation. An above-inflation duty is expected on cigarettes, with some reporting that cigarette packets might be given a minimum pack price.

Fuel duty is also expected to increase, putting an end to a four-year freeze. A lower oil price would soften the blow a little for drivers.  

The Budget kicks off after PMQs on Wednesday. You can watch it live on Parliament.tv or at keep up with the Independent's live blog.

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