11/11/2010

Job Benefits Cuts For Rule Breakers

New welfare reform plans have been unveiled that could lead to many claimants losing benefit entitlement for up to three years.

The White Paper set out how state benefits will be replaced by a single Universal Credit.

A "three strikes rule" will also be implemented.

The plans indicate how claimants could lose their benefits if they refuse a job, fail to apply for a position when told to do so by a job seeker advisor or failing to turn up for a placement interview.

Breaking one of the rules could mean benefit being stopped for up to three months. For re-offenders the punishment is doubled to six months.

For three time offenders benefits will be cut for three years.

The move means that job seekers would be forced to join community placement programmes, running for 30 hours per week, for one month.

Work schemes would also be implemented, including collecting litter, gardening or renovating vandalised buildings.

Work and Pensions Secretary Iain Duncan Smith outlined the reforms.

He said: "Your contract is: if you're unemployed, work with us, do what you have to do to look for work, apply for work, and take work

"If you do not, there will be a series of different sanctions that say, look, you're not helping, you are not working with us.

"The taxpayer has a right, out of fairness, that if they are spending that money they get something back.

"Something back is that you take work when work is available."

Discussing the simplification of the benefits system, he added: "We will introduce a universal credit which will make sure that work always pays.

"We will create a work programme around you and if you have been out of work for a long time we will help you with your problems to get you work ready and into work."

Despite concerns among many Liberal Democrats, Deputy Prime Minister Nick Clegg backed the reforms.

He said: "Our reforms will effectively remove the artificial disincentives created by existing rules about the numbers of hours people have to work.

"It must always be worth working, even for a few hours a week.

"Taken together, our welfare reforms should reduce the number of workless households by 300,000 within three years of implementation."

(BMcN/KMcA)

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