Ministers are sticking to capping despite delegates at this week's Tory party conference voting overwhelmingly in favour of abolishing it.
Mr Waldegrave told LGC he acknowledged the debate going on within his party over the issue, but spending restrictions would remain.
'It would be a bit rash to take a risk in this area just at the moment,' he said.
He said the government could not take a risk with public spending because interest rates were likely to rise as a result. 'That means the cost of mortgages going up, which means the economy slowing down. I don't want to take that risk just at the moment.'