"Conservative MP Sir Iain Duncan Smith told The Sun newspaper that it is clear under this government "welfare is now in crisis." Sir Duncan said that "before the pandemic, my welfare reforms brought workless households down to a record low" this "meant hundreds of thousands more children grew up seeing a parent go out to work each day, transforming life chances forever"."
"The former Welfare Secretary added, "soaring sickness benefits and the relaxation of benefit rules during lockdown, never to be turned back on, are costing the taxpayer billions and worse still, wasting the potential of millions of people". Joe Shalam, the CSJ policy director, said, "Everyone can see the system is broken. "With millions neither required nor helped into work and collapsing job starts among young people, we risk losing a generation.""
Rachel Reeves plans benefit increases that would raise payments for five million people who do not work, including one million on Employment and Support Allowance and four million on Universal Credit. Welfare spending could rise by around £15 billion to £20 billion according to the Centre for Social Justice analysis. The number of non-working claimants has grown from 2.7 million in 2020 and includes about 1.5 million children in households where parents do not work. Critics say relaxed benefit rules, rising sickness payments and past policy choices have increased costs, reduced work incentives and risk harming young people’s job starts.
Read at London Business News | Londonlovesbusiness.com
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