The Chancellor and the Prime Minister have also put forward plans for up to £25 billion in tax increases
Jeremy Hunt has outlined up to £35 billion in spending cuts after lower-than-expected growth forecasts forced him to accept he could not raise as much in taxes as he thought.
Following discussions over the weekend, the Chancellor and the Prime Minister have put forward plans for up to £25 billion in tax rises and up to £35 billion in cuts to spending.
The revelation will increase concerns that the pensions triple lock – which ensures the state pension rises by inflation, earnings growth or 2.5 per cent – could be under threat.
It could also mean cuts in benefits, with their future rise pegged to earnings growth rather than inflation.