The welfare bill is out of control. In the next few years, spending on sickness benefits will reach £100 billion annually. One statistic that never ceases to amaze me: one in five new cars bought in Britain is bought by the Government for those on the Motability scheme.
The Conservatives recently proposed two major changes to the benefits system:
1. The contribution test. Anyone judged fit to work gets six months on full Universal Credit. After that, the full rate is kept only by those with a sufficient record of prior contributions. Those who have not paid in drop to a new Subsistence Allowance worth seventy per cent of the standard rate – a cut of thirty per cent.
2. The ‘Back to Work’ card. The reduced allowance will be paid onto a special ‘Back to Work’ card – not a bank account. It will block cash withdrawals and purchases of alcohol, tobacco and gambling.
I am keen to hear from you on what you think about welfare spending and the new Conservative policies. Please take two minutes to fill in the survey below.