There are certainly some people playing the system. A neighbour has two middle-aged sons. One has never officially worked. The other stopped working (officially) some years back.
There's no doubt that they both have addiction issues, but they're still doing bits of work for cash in hand on top of claiming their benefits and receiving free housing. Only one has children of his own, so he has a council flat big enough to accommodate them during 'his' time - though it's his mother who feeds and looks after them. The other received a prison sentence and had his council flat kept and paid for him, in spite of the housing crisis.
Their parents both worked, but the two sons don't seem to see a reason to work full time.
Why don't I report them? Cowardice, I guess. One of them got in a strop one time and kicked in his mother's front door. (He thought that she was refusing to answer the door. In actual fact, she was out for the day.)
I'm on my own now and I don't have the fortitude that I used to have. The mother keeps suggesting that I should pay her sons to do work for me... This, in spite of the fact that she doesn't trust them: she had a bank card stolen one time.
Some of the other neighbours do pay them to do work. I suspect I'd become a persona non grata if I reported it - one of the sons does several of the gardens in our street.
I don't want them around me. At one point a fence between our gardens needed replacing after high winds. The neighbour wanted us to pay her son to do the work. In the end, I said that I'd pay for the wood (which I did) and that the neighbour could pay for her son to do the labour if she so desired.
I said that I'd use my old camper van (now defunct) to take the old fence panel and post to the tip. I was told that the son would go to help me. (In fact, it turned out that the neighbour had a load of stuff she wanted rid of.) He sat up front with me and he was reeking of booze - at 10 am on a Saturday morning.
I admit to being a hypocrite - I just smile and nod as necessary. I just want to be left in peace. I fear what will happen when the neighbours die and the sons or grandchildren inherit her house.