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Reducing eligibility for disability payments or cutting unemployment compensation, raising the retirement age, and decentralizing collective bargaining were also recommended.
A leaked Whitehall paper drawn up in March suggested a number of further cuts for consideration such as reducing eligibility for Carers' Allowance, and limits on child benefit.
Other proposals aired by Department for Work and Pensions (DWP) staff include a regional benefits cap, taxing disability benefits and reducing eligibility for the carers' allowance.
Paul Dimoldenberg, the leader of the Labour group on the council, said that by reducing eligibility, some people are not getting the services previously provided by the local authority.
Because they are temporarily barred from reducing eligibility, states have been left to cut "optional benefits," like dental and vision care, and reduce payments to doctors and other health care providers.
California would be faced with the difficult choice of eliminating or reducing benefits, reducing eligibility, finding comparable budget cuts outside of health services, raising taxes, or a combination of all these.
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This can significantly reduce eligibility for need-based financial aid.
ARIZONA has also reduced eligibility for pregnant women, and Minnesota plans to do so in 2004.
"People hardly ever reduce eligibility for pregnant women because they want to encourage prenatal care," he said.
As long as the savings persist in a reportable form, they will reduce eligibility for need-based financial aid.
Need-based financial aid assessments are based on income during the previous tax year, so having higher income during that year may reduce eligibility for need-based financial aid.
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