UK benefits system - what would you change?

[Galactico]

Just a bit of curiosity, really.

Many people agree that the benefits system isn’t fit for purpose now. Whether that be because they feel it’s too easy to get them and so there’s a lack of incentive to work for some people, or because people are subject to degrading assessments and the constant threat of being sanctioned/removed.

Any opinions?

So true!
It really promote laziness. Every case should be assessed: many people could work more than they do, they’re a burden to the system and that money should go to those who really need it.

I know young people in 16 hours and then going somewhere else to work for cash in hand and then older workers that can’t afford to retire after a whole life of working!

Means test attendance allowance.

Scrap winter fuel allowance based solely on age and redistribute it based on actual financial need across all age groups.

Restructure the child benefit system so it's based on joint household income.

Reduce the thresholds at which people are entitled to help with care costs. Why should someone be allowed to have £23k sitting in the bank and receive help? Allow £7.5k, enough for a funeral and use up the rest.

Address CMS.

I’m sorry but you haven’t heard groups of claimants discussing spending their money on spa treatments or whatever. And so what if they did, it may have been years since they managed a treat.
All this nonsense about people refusing to work, the Joseph Rowntree foundation looked into generational unemployment and coil find No families whereby three generations hadn’t worked. They found no evidence of a culture of unemployment amongst the few families (1%) who had two generations not working.
when you know how UC works; come back.

As for disability payments, my heating has now gone off as my December bill was £200. That’s a significant chunk of my monthly income. (I have EDS and cancer, among other things). Fortunately it’s not too bad at present but I live in the North East, it’ll be bloody cold soon.
Instead of moaning about made up situations, ( if unemployed you have to be able to demonstrate that you have actively looked for work for 35 hours per week for the pittance of 73 quid) try finding both facts and empathy.

@LauraDLoves , yes.

Some years ago I read that housing benefit was costing 25 billion a year.

IMO it’s a national scandal that much of that money was going into private LLs’ pockets, instead of into building/maintaining social housing.

And before anyone cries Tories/Thatcher, it was Gordon Brown who most certainly helped to fuel the buy to let boom, by scrapping mortgage interest relief for owner occupiers, while retaining it for buy to let.

Benefits for fit & healthy people should be income based (say 70-80% of income) in the first 6 - 8 months of claiming. We need to accept that everyone can fall on hard times.
The same should apply for serious illness up to something like 18 months, to give people time to recover without having to stress about money.

However, after the set time period Benefits should not exceed the NLW for the area. So no top ups on housing ect.

I also agree to better SSP & maternity pay if you have been FT working for over 2 years (does not need to be in the same job)

Disability benefit and careers allowance should be scrapped. People should be entitled to a basic income based on NLW for their area. In this category I would include housing benefit as housing needs are more specific.
This category should be extended to Pensioners- so if you have been lucky enough to safe or have a home you should not be penalised. On the other hand if you are relying on state pension you should be well cared for.

Carers allowance should be raised. It's a full time job, and saves the cost of council paid carers.

Make working pay . Increase the tax threshold so if you work full time on nmw you don't get taxed. Equally tax all income including benefits.

Remove the vote from anyone who is long term unemployed or a benefits recipient for anything other than a disability. They will only ever vote for more handouts.

We can't afford to give teachers or nurses a payrise. Why on earth would we give someone who won't get a job more money?

There are record numbers of jobs available. Benefits should be zero if they won't take jobs. Millions of taxpayer's are struggling at the moment perhaps we don't need to pay for those too lazy to work.

Make Carers Allowance at least £150 a week & stop the situation where if you are on another benefit you don't get the money. Increase the amount you can earn before Carers Allowance is reduced or withdrawn to £250 a week. Change the ridiculous situation where if you are under 35 you can only claim enough housing benefit for a shared house.

Absolutely this!

Those not entitled to benefits feel the pinch of tax increases to pay for this things in the first place......it makes you wonder why you even bother

"Remove the vote from anyone who is long term unemployed or a benefits recipient for anything other than a disability. They will only ever vote for more handouts."

So as a carer, saving the country thousands of pounds a year in the cost of residential care, I wouldn't get a vote?

It didn't fail, it was a small study that went pretty well but the centre-right government at the time never intended it to go beyond a study.

Stop the awful assessments for ESA, DLA & PIP, accept the evidence from hospitals & GP's who know the claimants condition best, getting rid of the assessment companies will save money as well as the cost of appeal tribunals.

I would increase carers allowance. It would include a pension element which was paid into a pension scheme of the carers choice for carers under pension age. I would do the same for disability payments.

I would have a free childcare thing from 1 to 12 to match other countries.

I would reform social housing/private rental market. So much of our benefits go to private landlords from what i can see.

raise the minim wage to £12.50 per hrs

based on a 40 hr week that raises the annual salary to £25000

this would eliminate a large percentage of the 40% of working UC claimants from claiming benefits

raise Personal tax allowance from £12.500 to £17.500
and lower higher end withdrawal to £90k

reducing the reliance on working benefits and increasing net pay into pay packets

thus reducing the benefits system paying wages of companies as the pay low wages

the benefits payments would reduce, tax woul balance through higher wages but higher tax threshold

Failing for political reasons is still a kind of failure.

Just because something works doesn’t mean it will have broad societal support. Which was my point

UBI would be doomed in the UK because it would be perceived as a handout enabling lazy shirkers. Regardless of the economic sense it might make.

But the failure wasn't because of a lack of societal support, it was because it was never actually done beyond a very small study (and wasn't really a UBI as it still required other benefits like housing benefit if they weren't working at all)

I agree that many in the UK would perceive it that way, but they perceive all benefits that way and the benefits system still exists.

"But generally, I'm in favour of UBI. So much admin would be scrapped if everyone got the same regardless. It would almost pay for itself."

If everyone got the same then the most vulnerable (who have higher costs and would also have no way of increasing their income) would be considerably worse off than anyone else.

I agree with the poster above increasing minimum wage to £12.50 or £13.00 per hour. Low pay is a significant issue. I think this would be less prone to inflation than UBI which I fear would inflate costs like childcare.

Reduce the complexity around childcare system - I would probably remove the "free" hours and go for a tax credit system, but instead of the current government scheme I would go back to the old voucher system which people liked, and often meant father's to pay for childcare as well. This would apply for children from 0 to 12 years old.

Increase the pension threshold, this one is niche but it stops senior experienced people from working fulltime - especially doctors.

UBI sounds madness to me. So people are ok with the well off getting state pay

And that’s before the disincentive to work kicks in

The 16 hour point is something I’d look at to see if it’s optimal

Does it disincentivise?

@cptartapp do you actually understand what attendance allowance is? its the equivalent of PIP/DLA for people over pension age who did not get either of those benefits when they were working age and therefore still keep them after pension age and is based on care needs and not mobility, if you means test AA then you will have to means test PIP/DLA for both people of working age and pension age who get it. And I wondered when pensioner benefits would rear its ugly head.

I'd stop giving it to non British citizens that haven't paid in. This is not inhumane and is the system in Spain at least, probably the rest of Europe too. There is also no access to the health system or any social housing. Once you pay in you are entitled to help but only for so long, so working for a year, entitles you to 1 year with 80% of your pay. This also stands for Spanish citizens. I'd keep jobseekers but aim to phase out the need for benefit top ups. It would leave more money and resources for disabled and elderly.

I'd increase the amounts for disabled and elderly.

I'd increase the amount for carers. If they didn't do what they do, LA's etc would have to pay for nurses etc so carers should receive AT LEAST the average wage if they can't work due to caring responsibilities. If they can work part time they should be topped up to AT LEAST the average wage. They should not be penalised for taking on a caring role.

For people with no issues affecting their ability to work, I'd expect them to find work. I'd get rid of this expectation of being kept by the state, the generations on benefits. I'd make employers pay decent wages so people aren't better of on benefits.

I'd allow full benefits to 1 parent even if their partner works, but only until the end of primary school. I think society is being damaged by kids in nursery all day so both parents can work. I think kids will benefit from a parent with the time to be home from pickup time to be with their kids. I'd make this changeable so the parents can easily swap.

I'd introduce state run nurseries that charge a sensible, reasonable amount.

While I'm at it, it renationalise gas, electric, water, Internet, royal mail and transport.

I'd do away with zero hour contracts and stop councils/LA's subbing everything and go back to people being employed properly in secure jobs.

I'd get rid of the layers and layers of beaurocracy within the NHS. I'd stop everything being tendered and subbed out and do as much as possible inhouse to stop the ridiculous overcharging to the NHS. I'd make sure nurses and auxiliary staff were paid a decent rate to do away with the majority being agency. That would then attract more staff hopefully.

To pay for it, I'd stop foreign aid, any benefits for people not born here who haven't paid in. No social housing for them. If they want to live in the UK then they need to show they can support themselves, the same as Europe expect. No more free ride.

I'd also increase manufacturing and becoming self sufficient as a country. Encourage British companies making British produce and products again, which will provide jobs.

But, none of that will ever happen.

UBI sounds madness to me. So people are ok with the well off getting state pay

they get tax breaks now, so what’s the difference?

genuine question, in my mind aren’t we just used to the rich avoidance of tax