More than 100,000 young people will be denied unemployment benefits for six months from next year as part of federal budget cuts to welfare.

The official figures obtained by the Australian Council of Social Services show the Department of Social Services estimates more than 100,000 people would be affected by the proposed six-month waiting period each year. This would provide an estimated budget saving of $1.2 billion over the next four years.

Denying benefits is cruel and harsh: ACOSS chief Cassandra Goldie. Credit:Tomasz Machnik

From next July, unemployed people under the age of 30 will be required to do 25 hours of unpaid work a week for six months. Those between 30 and 49 will do 15 hours.

The jobless will also be asked to apply for 40 jobs a month, double the current requirement.