Govt to press ahead with welfare plans despite Lords defeat

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The government will push ahead "in full" with plans to cap welfare payments for families despite a defeat in the House of Lords.

On Monday evening, peers voted in favour of excluding child benefit from a proposed household benefits cap of £26,000 a year. Critics, including former Liberal Democrat leader Lord Ashdown, argued that imposing the same cap on all families would penalise children. Ministers said they were "disappointed" with the result but intended to push through their plans "in full". Work and Pensions Secretary Iain Duncan Smith claims the cap on out-of-work benefits would save about £600m towards deficit reduction. But Liberal Democrat, Labour and crossbench peers allied to back a Church of ...

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