Britain’s Labour Party government on Tuesday announced an overhaul of the welfare system that it says would save the cash-strapped administration ￡5 billion (US$6.5 billion).
The government said that the shakeup would help people to find jobs who are currently “written off.”
British Secretary of State for Work and Pensions Liz Kendall told lawmakers in the House of Commons that the government had inherited a broken social security system that is “failing the very people it is supposed to help and holding our country back.”
Photo: Reuters / House of Commons
Britain’s statistics are stark, with one in 10 working-age people claiming a sickness or disability benefit, and “millions of people who could work trapped on benefits,” Kendall said.
Blaming the Conservatives, who lost power in July last year after 14 years, for damaging the economy and health system, Kendall said that “the social security system will always be there for people in genuine need.”
However, she announced changes to the way disabilities are assessed.
The changes, which have to be approved by parliament, are expected to save more than ￡5 billion by 2030.
Not everything is being cut. The overhaul also includes an above-inflation increase to universal credit, one of the most common welfare benefits.
Kendall said that ￡1 billion would be spent to “tear down barriers to work,” including new rules allowing welfare recipients to try out paid jobs without losing their benefits.
The government says that a lack of support toward employment is trapping sick and disabled people in economic inactivity.
“In most comparable countries” spending on sickness and disability benefits “is either stable or falling — whilst ours continues to inexorably rise,” Kendall said.
The Disability Benefits Consortium said that the “cruel” changes “will largely hit those who are unable to work and rely on these benefits to survive.”
Sarah Hughes, chief executive officer of mental health charity Mind, said the cuts would make it harder for people to get support and would “deepen the nation’s mental health crisis.”
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