Yesterday’s Budget from Jeremy Hunt sent all the wrong messages to benefit claimants.
Jeremy Hunt’s mission statement was clear from the get-go: the Government believes that there are thousands of people who are not working that should be, and just as many who are working, but should be working more hours. In order to change this, the Government is reforming the welfare system in two fundamental ways.
First, they are scrapping the Work Capability Assessment (WCA), replacing it with the Personal Independence Payment (PIP) assessment in an effort to bring more disabled people into the workforce. The WCA has caused incredible distress to so many of our clients over the years, so this move is, at least superficially, welcome.
However, it seems clear that this is an overly simplistic approach to tackling a complex issue of helping people with long and short-term conditions back into work. If PIP becomes the key way of determining whether people can work or not, there will be millions who miss out because of the decision making process which refuses nearly half of all new PIP applicants straight out of the gate, and because PIP only assesses the extra living costs of disability. This means that those who have conditions that prevent them working, but who don’t receive PIP, will effectively face a significant cut in their benefits.
At the same time, the Government are ramping up their use of sanctions and conditionality. Claimants of Universal Credit will have sanctions applied ‘more rigorously’ and will have to undertake more work-related activities in order to get their full entitlement. Those claimants who currently work and receive Universal Credit will now have to work at least 18 hours a week (up from 15 hours) – otherwise they’ll need to meet regularly with their work coach to discuss increasing their hours.
Let’s be very clear on this point – sanctions do not work. They do not get people back into work. They do not improve the lives of claimants. They do not make the benefits system fair. There is no body of evidence that shows sanctions are an effective tool – and a wealth of evidence that shows the opposite is true. Even the government knows this, which is why they have been hiding their internal data on the effectiveness of sanctions for years.
What the government have missed – perhaps deliberately so - is that years of cuts to welfare, public services, and health services means that there are thousands of people in this country who are simply unable to re-enter the job market, and forcing them to do so under the threat of sanctions will only worsen this. Funding better support services to allow disabled people to return to work – such as better mental health services, better access to GP surgeries and specialist health professionals – would be a more productive approach, rather than simply weaponising welfare to punish our most vulnerable.
Coordinator Colin Hampton added, 'it is worth noting that sanctions have been employed by both Tory and Labour Governments and have never done what they have intended as stated. All research, including the DWP's own research, has found the same conclusions. They do not work. So we are either governed by fools or sanctions exist to frighten people in low paid employment into not asking for better pay, terms and conditions, fearing the sack and being subjected to sanctions and possible destitution.'
Finally, DUWC want to emphasise that these changes will not be coming into effect for a number of years. It’s very likely that we will not see large-scale implementation of these changes before 2027 – so if you are currently in receipt of disability benefits, please do not worry. Your entitlement will not be changing any time soon as a result of the Budget.
As always, if you are unsure about your benefits, you can call us on 01246 231441, or visit any of our multiple locations across Chesterfield, Amber Valley, Bolsover, and North-East Derbyshire.