Unemployed people are set to lose £40 under new benefits rules, it has been revealed.

From this Autumn, anyone who loses their job will receive £40 less as a result of government plans to make people wait for longer for any job support.

The government’s own assessment body revealed that its policy on welfare will leave many impoverished.

The Social Security Advisory Committee (SSAC) – an official body that was selected to advise the Department of Work and Pensions on benefits issues said that plans to make all new claimants for Jobseeker’s Allowance (JSA) or Employment Support Allowance (ESA) wait seven days before they are eligible for help, would result in claimants losing £40.

Disabled people will be particularly impacted under the changes. People with disabilities who are claiming ESA will lose £50 on average.

Under the current policy, claimants only have to wait three days before being able to claim.

The government’s impact assessment of the change, published by the SSAC as part of its consultation, shows that over 1.3 million people a year will be affected.

The Trades Union Congress (TUC) has spoken out against the changes and said that it will make unemployed people “easy prey” for loan sharks.

TUC General Secretary Frances O’Grady, added: “This has nothing to do with making work pay. It is simply a mean attack on the welfare safety net and could affect any one of us.

“It won’t matter how long anyone has had a job or how much they have contributed to the system, they will all suffer the same penalty. The vast majority of people who lose a job thankfully find another one within a few months, but this is when they need help to tide them over between jobs. That is why we have a national insurance system to which we contribute when we are in work – a system that is now under attack.”

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