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Benefits
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17/09/2012
Public attitudes to benefits are hardening
Public support for government spending on social security benefits has declined markedly over the last decade, according to the annual British Social Attitudes Survey report. People are also more sceptical about whether benefit recipients deserve the help they get.
The British Social Attitudes Survey has been conducted each year since 1983. The 2011 survey involved a representative, random sample of over 3,000 adults.
Category: Reports -
17/09/2012
Government considers ending benefits-inflation link
Anonymous 'sources' have told the BBC Newsnight programme that the government is considering ending the automatic annual increase in benefits in line with inflation.
According to the report, senior government figures are proposing a two-step change to the payment of benefits. At first there would be a freeze to a wide range of working-age benefits to last for two years. After that a new link would be introduced between benefit payments and increases in wages. The change would not be implemented quickly, but could be in place by 2014 – in time for the next General Election. Potential savings are 'simply mind-boggling' – as much as £7 billion a year.
But one benefit not being targeted is the state pension. Pensions are currently protected by a 'triple lock', rising each year by either inflation, earnings, or 2.5 per cent – whichever is highest.
Category: News stories -
17/09/2012
Damaging impact of benefit cuts in Birmingham
The damaging impact of the government's proposed cuts to social security benefits has been highlighted in evidence submitted to a Birmingham City Council inquiry. The worst impacts will be felt on child poverty, people on low pay, young homeless people, disabled people, and people living in social housing.
The aim of the Council's inquiry is to understand what the implications of welfare cuts might be for communities and individuals in Birmingham, and whether there will be an impact on social cohesion in the city.
Category: Reports -
11/09/2012
People on low incomes at risk from indexation change
The government's decision to change the way benefits and tax credits keep up with rising prices will cost the typical family with children £614 a year, says a think-tank analysis.
In the 2010 Budget the Chancellor announced that from April 2011 the uprating of benefits, tax credits and public service pensions would be based on the consumer prices index (CPI) rather than the retail prices index (RPI) - typically producing a lower figure. The think-tank report looks at what this change will mean for family budgets in the five years after the introduction of the new universal credit.
Category: Reports -
22/08/2012
Social Fund support cut by over 14 per cent
Many local authorities are worried about a looming shortage of money for local schemes replacing Social Fund provision, according to campaigners.
The Social Fund currently helps people with needs that are difficult to meet from regular income. It provides maternity, funeral, cold weather and winter fuel payments; and a discretionary element covers community care needs, budgeting loans and crisis loans. From April 2013 key parts of the scheme will be replaced by new local arrangements, delivered by upper-tier local authorities in England and by the Scottish and Welsh Governments. Money for local schemes will not be ring-fenced.
Category: Reports -
10/07/2012
Call to means-test benefits for older people
Older people need to shoulder a bigger share of public spending cuts, according to an influential Conservative MP.
Nick Boles is reported to have played an important role in drafting Tory policy plans before the 2010 election. In a speech on living standards and public spending, Boles called for older people’s universal benefits to be means-tested by the next government (after 2015). These include free bus passes, health prescriptions, winter fuel allowance and television licences.
Boles explained that at least a further £8.5 billion needs to be cut from the £145 billion social security budget, on top of cuts already planned. Further cuts should be concentrated on benefits that do not help people improve their skills or get back into work. That means targeting housing benefit, child tax credit and child benefit, as well as benefits for older people.
Category: News stories -
03/07/2012
Pin photos of benefits cheats to lamp-posts, says DWP official
Benefits cheats should have their photographs pinned to ‘every lamp-post in the streets where they live’ in order to shame them, according to a senior official in the Department for Work and Pensions.
Terry Moran, DWP chief operating officer, told civil servants at a London conference he wanted to shame fraudulent claimants into stopping claiming. He said he was ‘distressed’ by healthy people who claim disability benefits illegally. Moran is the official principally responsible for introducing the universal credit programme.
He continued:
‘If I had my way I would put their photograph on every lamp-post in the street where they live because it is a very distressing thing for genuinely disabled people to see the reputation of disabled people damaged in the way that is by those people. We have got to do something about it constructively.’
Category: News stories -
28/06/2012
Scottish Bill to limit impact of UK welfare reforms
The Scottish Parliament has unanimously approved a Bill designed to limit the impact in Scotland of UK-wide social security reforms, including plans for a new universal credit.
The vote follows a parliamentary committee report expressing ‘grave concerns’ over the reform plans.
The Bill does not in itself make any changes to UK legislation and the Scottish Government has not yet set out any specific proposed amendments. Any changes are being left to regulations to be introduced later in 2012. At that point any possible mitigating steps will be considered – for example, in the treatment of ‘passported’ benefits under the new universal credit system.
Source: Welfare Reform (Further Provision) (Scotland) Bill, Scottish Government, TSO
Category: News stories -
26/06/2012
Low-income households hit by indirect tax rises
The poorest households now pay nearly one-third of their income in indirect taxes, according to the latest official figures. The poorest fifth pay 31 per cent on taxes such as VAT and alcohol and fuel duties – much higher than the 13 per cent paid by the richest households.
The annual report from the Office for National Statistics looks at how taxes and benefits redistributed income between various household groups in 2010/11.
Category: Reports -
25/06/2012
Cameron calls benefits system ‘unaffordable’
The benefits system is unaffordable, traps people in poverty and encourages irresponsibility, according to the Prime Minister. In a speech on welfare he called for a debate about the fundamental purpose of the benefits system, and put forward a wide range of possible reforms.
David Cameron was speaking in his capacity as leader of the Conservative Party, rather than on behalf of the government. He said the government has made a ‘good start’ on reform but he signalled the need for further radical measures at some stage in the future, probably after the next election. Key possibilities for reform include:
Category: News stories
