The new coalition has recently passed a bill in order to mitigate the problematic expenditure of taxes for out of work citizens claiming benefit.
Estimates of 2.5 Million people claim benefit each year. This in turn costs the country 12.5 billion pounds a year. Adopting a policy previously noted as a insured policy of the conservative party’s manifesto, the coalition have decided to introduce Iain Duncan Smith’s proposed welfare reform that forces many long term claimants of benefit to find work.
The policy implemented, requires those on benefit to actively search for jobs or be placed on mandatory community work schemes. If certain claimants refuse to abide by this, then there is a risk they will have the payment of their weekly benefit support funds revoked completely.
For those who claim benefit on the account of being unfit to work, are required to undergo medical examination which will determine whether or not the disabled are still able to maintain a vocation.
This scheme also takes into account the most terminally ill and disabled, insuring that they will not have to work. Conversely, those still able of limited work will have support into returning back to work.
However earlier this current year, a report from previous secretary of pensions and work Angelia Eagle stated that this policy may cost upwards of seven billion pounds in order to change over to this scheme.
Iain Duncan Smith has proposed to put the reform into service in early 2013.