Shropshire Star

Powys welfare changes average £391 loss

The average working age adult in Powys could see a loss of income of about £391 a year by 2015/16 due to changes in welfare, the Welsh Assembly has warned.

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New figures released by ministers today also show that, on average, working-age adults in Wales will see a loss of about £500-a-year in their income.

Wales will see a total loss of income of about £930 million a year by 2015/16 with 14 wider knock-on impacts on the economy as people have less to spend in their local communities.

The Welsh Assembly has commissioned a series of reports to help it understand the full impact of the Government's welfare reforms on the people of Wales. The latest published information looks at how 14 welfare changes will affect individuals.

It examines the number of claimants affected and the potential impact on income. Out of Wales's 22 local authorities, the average loss per working age adults is highest in Neath Port Talbot with an average loss of £606.

The Powys area will have the third lowest loss of income at £391.

Wrexham County Borough Council, which covers communities on the Shropshire border including Chirk and Glyn Ceiriog, will have the eighth lowest loss of income at £449.

Councillor Peter Lewis, chairman of the Montgomeryshire commitee on Powys County Council, said he was worried about the knock-on effect the welfare reforms would bring.

He said: "Any loss of income is a concern because we are still in difficult times. Less income means people are less likely to go out and spend money in shops. They are less likely to go out. Another knock-on effect could be on free school meals budgets."

The Welsh Government's communities and tackling poverty minister Jeff Cuthbert said: "Communities across Wales are being hit hard by the changes to welfare. Our latest research shows how decisions being made in Westminster will have a real difference on the money in the pocket of many families with a knock-on effect on their quality of life. The reality is we are going to see many get worse off."

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