Welfare cuts mean that "work doesn't pay"
- 12 Mar
A report has found that some people are losing 97p of every £1 earned after they're hit by welfare cuts.
The public accounts committee has warned that cuts to council tax benefits means "work does not pay" for people worse affected by the reforms.
The report said that the Department for Work and Pensions were "not fully understanding" of the impact council tax benefit cuts combined with other welfare reforms will have on people.
The PAC report has found that despite the government tasking authorities to protect people with vulnerabilities however 133 councils offered no protection except to pensioners and war pensioners, reports Inside Housing.
In nineteen local authority areas 225,000 people would lose more of their earnings than under the previous scheme. It found that some people were losing 97p of every pound they earned.
Chair of the committee, Margaret Hodge, says: "This just goes to show, for some, work simply doesn't pay under the new scheme. For them, work incentives have actually weakened rather than strengthened - the opposite of what the government intended."
Brandon Lewis, local government minister, said: "Spending on council tax benefit doubled under the last government costing taxpayers £4 billion a year - equivalent to almost £180 a year per household. That's why, as part of our long-term economic plan, we are fixing the welfare system to make work pay and reducing the deficit to safeguard our economy for the long term. Our council tax policies are working. Localised council tax support has also given councils stronger incentives to support local firms, cut fraud, promote local enterprise, get people into work and end the "something for nothing" culture."
What do you think of this? Tweet us your comments @suppsolutions
Image source: http://www.sxc.hu/photo/1435033
Related articles
- 08 Nov
NHS BOSS SETS OUT A CASE FOR CASH BOOST
The speech by Mr Stevens at the NHS Providers' annual conference of health managers is being made at the time when three reputable health think-thanks- the Health Foundation, the King's Fund and the...
- 09 Jun
THERESA MAY PLEDGES TO REPLACE THE MENTAL HEALTH ACT 1983
According to Ms May, the new bill would introduce the following:According to the Tories, the proposals were described as the biggest change to mental health treatment law in over 30 years.Ms May...
- 30 May
THE PRESENT FIRST PRIME MINISTER OF SCOTLAND IS TO PLEDGE AGAINST ANY PLANS TO PRIVATISE THE NHS
It is also expected that Sturgeon will do the following as proof of her party's commitment to fighting against further austerity:Sturgeon said this before Tuesday's manifesto launch:"While the polls...
- 17 Mar
402 MILLION POUNDS WILL BE INVESTED IN COUNCILS WITH THE GREATEST HOMELESSNESS DEMAND FROM APRIL 2017
Presently, funding is only used for homeless households and not for the prevention of homelessness in the first instance.The funding by the Department for Communities and Local Government is set to...
- 15 Mar
RULES AROUND PERSONAL INDEPENDENCE PAYMENTS MAY CHANGE ON THURSDAY
Ministers have advised chief executives of over 30 charities which claimed that people will be left without vital financial support, to restrict access to a disability benefit.The Disability Benefits...
- 06 Mar
THE GOVERNMENT HAS BEEN URGED BY THE BMA TO INCREASE HEALTH SPENDING BY 10 BILLION POUNDS
This increase in health spending to a proportion of GDP that matched that of the 10 leading economies across Europe could pay for at least 35,000 extra beds a day and many more GP's, according to the...
- 05 Sep
MANY DOMESTIC VIOLENCE REFUGES AT RISK OF CLOSING DUE TO HOUSING BENEFIT CAP
Women who have been victims of domestic violence as well as their children are at risk of falling into the hands of their violent partners if the government caps housing benefit in the social sector...
- 03 Sep
Data on disability benefits refused by DWP
DWP officials have refused a second request for basic information on disability benefits using the “Section 22” exemption they used previously, reports The Independent.The Department had been...
- 02 Sep
UN to investigate how welfare reforms will affect disability rights
A disability charity in Scotland has said it’s been contacted by the UN’s Committee on the Rights of Persons with Disabilities as part of an inquiry into Britain’s treatment of people with...
- 01 Sep
Benefit cuts affecting 48,500 families in Liverpool
Analysis from Liverpool City Council has found that around 48,500 households are likely to lose their benefits due to new government reforms, reports the Liverpool Echo. Councillor Jane Corbett has...
The Welfare Reform Act: Universal Credit, Sheltered and Supported Housing The content was concise and to the point. The content was relevant to our service, and gave us a better us a better indication of were stand with upcoming changes. Rosie Kaur - Panahghar
