Reform UK has announced a plan requiring up to 330,000 unemployed people to work for their local council or lose benefits, as part of efforts to reduce the welfare bill by £50 billion. The scheme, unveiled by Reform Treasury spokesman Robert Jenrick, would involve claimants cleaning high streets and parks, carrying out minor repairs to council houses, or working in libraries and community centres.
Details of the scheme
Jobseekers could also be assigned to assist schools or social service departments in “non-sensitive” roles that do not involve working with children or people receiving care. Those taking part in the scheme would receive an extra £30 a week on top of their usual benefits to cover transport and meal costs.
Speaking at a London press conference, Mr Jenrick said: “There are more than 330,000 adults on Universal Credit capable of work, and who are supposed to be looking for it, which they have been reportedly doing so for more than 12 months. That can’t keep going on. If taxpayers must contribute, so must the able recipients of their support who can as well. I am therefore announcing that a Reform government will introduce a welfare-to-work scheme.”
Broader welfare cuts
The plan is part of a wider package that includes banning non-British citizens from receiving working-age benefits such as Universal Credit or Jobseeker’s Allowance, and reducing the number of people receiving disability benefits, including Personal Independence Payments (PIP). The proposal to limit PIP would extend the period employers must provide sickness pay from 28 weeks to two years, with a compensating cut in employer National Insurance contributions by 0.2%.
Reform’s plan to stop foreign nationals receiving benefits would include EU nationals with settled status, who are currently eligible under the Brexit deal. This would require reopening Brexit negotiations with Brussels, as the deal guaranteed rights for those living in the UK before December 31, 2020.
Reactions
The plan has drawn criticism from the Institute of Economic Affairs. Director-general Daniel Hannan, a former Conservative and now independent member of the House of Lords, said: “Requiring 330,000 people to do community service risks creating a costly new bureaucracy for councils. Welfare reform should save money, not give the state another scheme to administer.”
Shadow Chancellor Sir Mel Stride said: “I introduced reforms to cut the sprawling welfare budget after the pandemic by reducing the numbers on long-term benefits and radically overhauling PIP. Labour called them ‘divisive’ and scrapped all of them, allowing the benefits bill to continue spiralling. Robert Jenrick hailed my reforms for making the system fairer and enabling us to cut taxes responsibly. Reform continue to flip-flop, like they did on the two-child benefit cap, and their fantasy numbers are simply not plausible. Meanwhile, Labour are totally failing to tackle the scale of our welfare problem.”
Mr Jenrick also told the press conference that the average tax burden for each family to pay for the welfare state would reach £7,000 by 2031.
