Sheffield Anti-Cuts Alliance has criticised the decision to cap a rise in benefits for people of working age to 1 per cent for the next three years.
The campaign group said the move represents a ‘cut in real terms that hits the poorest and most vulnerable in society’.
A spokesman for the alliance, which includes trade unions and socialist political parties, said: “With prices set to continue rising in 2013, and wages stagnating, many people are already struggling to make ends meet.
“A recent survey found, on average, working people are borrowing £327 to get through the month.”
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