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Today's Queen's Speech promises more cuts for the unemployed and other claimants, including new immigrants to the UK who will have access to benefits restricted.
There was better news in the new National Insurance Contributions Bill, which cuts NI contributions paid by small businesses when they employ someone, potentially boosting the number of jobs available, and in plans to improve the availability of childcare for working people.
Working age benefits, including Jobseeker's Allowance, will rise by 1% from today, the Department for Work and Pensions (DWP) has confirmed.
In a press release, the Minister for Pensions, Steve Webb, gave reasons for the necessity of this below-inflation rise:
"In a tough economic climate we have struck a fair balance between giving more help to benefit claimants and continuing to manage down the deficit.
This weekend the Defence Secretary, Phillip Hammond, was interviewed in The Telegraph.
He was making the case for more funding for defence, believing that this should be a priority for the coalition.
So where should the funding be cut from if the government is to reach its self-imposed austerity targets?
Why, benefits of course:
A London council has threatened to withdraw benefits from overweight and unhealthy claimants.
Westminster Council will pilot a scheme in which those with weight problems who refuse to attend exercise classes prescribed by their doctors could have benefits cut.
The council said its aim was to cut £5 billion from the local NHS budget when it takes over responsibility for this provision in April.
GP and British Medical Association member Dr Lawrence Buckman called the idea "draconian and silly".
Deputy Prime Minister Nick Clegg has said he will not support proposed further benefit cuts after the next election.
Speaking last week, Chancellor George Osborne set out ideas for a £10 billion cut in benefits, with the money to be withdrawn from young housing benefit claimants and larger families and savings made by increasing benefits by less than inflation.
But Clegg, leader of the Liberal Democrats who partner the Conservatives in the coalition government, denied he had agreed to the cuts.
The Chancellor, George Osborne, has said he will slash £10 billion from the Uk's benefits bill.
This is in addition to the £18 billion already being cut.
Osborne, speaking at the Conservative party conference in Birmingham, said that the money would be cut from housing benefit for those aged under-25, as well as from targeting lower increases in payments and limiting the number of children that the state would provide benefits for.
"How can we justify the incomes of those out of work rising faster than the incomes of those in work?," he asked.
Insurance group Aviva has announced that up to 800 positions in the UK could be at risk as it continues its £400m cost-cutting programme.
Redeployments and voluntary redundancies meant the actual number of people losing their job would be fewer than this number, the company said.
Aviva said it had already streamlined senior management roles and would also create some new roles.
The Unite unions described the cuts as "totally unacceptable".
Employers are facing a "make-or-break moment" as many will have to make job cuts if the economy does not pick up, according to a report.
The survey by the Chartered Institute of Personnel and Development (CIPD) showed that a third of private sector employers had kept on more staff than they needed to avoid losing skills.
But almost two-thirds said they would have to cut back if economic growth did not pick up in the next year.
Unemployment has been falling in 2012.
