The UK government has announced the biggest change in the welfare system in decades.
These reforms are being done mainly to help sick and disabled people get jobs. The government says that this will not only help the needy people but will also strengthen the country’s economy. Under this scheme, £1 billion (100 crore pounds) is being invested to open up employment possibilities and make the welfare system sustainable for the future.
What changes are being made?
- The government aims to help those who have the ability to work but have not been included in employment till now. Many big steps are being taken to achieve this objective:
- Work Capability Assessment will be abolished – this is the current system that decides whether a person is able to work or not. It will be removed and a new system will be introduced which will be more transparent.
- Right to Try Guarantee – if someone tries for work, their welfare support will not be immediately removed.
- New support schemes to help sick and disabled people get into employment – £1 billion of funding will be invested specifically in these to give them individualised guidance and training.
- Permanently disabled people will not have to take second assessments – people who can never work because of serious illnesses will not need to be checked again.
- The rules for Personal Independence Payment (PIP) will change – it will now be restricted to people with high needs.
- Young people will be given special training opportunities – by not giving them direct access to Universal Credit health benefits before the age of 22, they will be encouraged to invest in education and training.
- Changes to Universal Credit (UC) – Standard Allowance will be increased to make it more effective and balanced.
- New schemes for jobseekers – specific plans will be introduced to help people get back into work, including enhanced schemes such as “Access to Work”.
- Help to prevent long-term economic inactivity – this will include services such as job training and mental health support.
What does the Government say?
Prime Minister Keir Starmer said,
“We inherited a completely broken welfare system from the previous government. It’s not working for the people who need it most, and it’s also placing a huge burden on the country’s economy.”
He added that people who have the ability to work need to be given suitable opportunities so they can live independently.
Work and Pensions Secretary Liz Kendall said:
“Our social security system will only be effective if it helps those who really need it, but also motivates those who are able to work.”
Why was this decision taken?
Increasing burden on the economy – The government says that if the welfare system is not reformed, its cost could reach £70 billion a year in the coming years, which would be equivalent to a third of the entire NHS budget.
Working inactivity – Around 2.8 million people are out of work due to long-term illness, making the UK’s employment rate lower than other countries.
Young people being unemployed – One in eight young people in the UK is neither working, studying, nor involved in any training.
What happens next?
The government is in the process of rolling out this plan soon. These changes will be implemented especially in England, Scotland and Wales, and the government will work with local authorities to make it more effective.
Conclusion
This welfare reform is the biggest ever in the UK. The government aims to provide better support and opportunities to those who are able to work, while also providing full support to those who are genuinely incapacitated. This will not only improve the lives of millions of people, but will also help stabilise the country’s economy.
Frequently asked questions (FAQ)
1. Are welfare cuts being made?
No, the government is focusing on providing support to those who really need it. People who cannot work permanently will be given even more protection than before.
2. Will the Work Capability Assessment be abolished altogether?
Yes, it is being abolished and replaced by a new process to encourage people into work.
3. Will my support stop if I try to work?
No, the Government is introducing a “Right to Try” policy which allows anyone to try for work without fearing their support will end immediately.
4. Is anything new being done for young people?
Yes, the Government wants to give young people under 22 the opportunity to invest in job training and education earlier, so they can become more self-reliant.
5. What changes are coming to Personal Independence Payment (PIP)?
PIP will now only be available to people with high needs. The Government wants to make sure that this support reaches those who are most in need.