Sunak considering raising state pensions and benefits with inflation

Rishi Sunak is considering raising state pensions and benefits in line with inflation in a move that would likely usher in deeper public spending cuts elsewhere and higher tax rises.

The Prime Minister and Chancellor Jeremy Hunt are considering imposing up to £60 billion in tax rises and spending cuts in the autumn budget on November 17.

Treasury sources insisted no decisions have been taken, but did not deny a report in the Times stating they would avoid real-terms cuts on pensions and benefits.