Wednesday, October 13, 2010

One benefit to rule them all

The UK government is forging ahead with its Universal Credit which will apparently replace all benefits. According to the Independent:

Millions of welfare claimants are set to have their benefits scrapped and replaced with a single "universal credit", it was reported today.

The decision represents a victory for Work and Pensions Secretary Iain Duncan Smith in his lengthy battle with the Treasury over his plans to overhaul the welfare system, The Times reported.

Under the changes, housing benefit, income support, incapacity benefit and dozens of other payments will be swept away in a major reform programme intended to break the culture of welfare dependency by making work pay.


The move was announced in a fairly dramatic and sometimes gushy speech given by Iain Duncan Smith on October 1. Some excerpts:

This Conservative-led government has concern for the poor running through its DNA and we are focused each day in order to see joined up government working together for the national interest....

This country needs a completely different type of government. It needs a government of transformation. A Government determined to mend what is broken and reform what doesn't work....

For me, for my department and for this coalition government we recognise that there are five pathways out of poverty.

• Strong, stable families.
• A school that gives you the skills you need for your future.
• Work where you can provide for your family
• Streets that are free of drugs so that our children can grow up in safety
• And freedom from debt.

A government welfare cheque can protect against hardship but can never substitute for a loving parent, an inspirational teacher and a good employer....


But detail on exactly how the Universal Credit will improve on the status quo is not available.

Then, ironically, after announcing the one benefit to rule them all he announces another new benefit:

Today we are going to go further. After discussions with the Prime Minster and the Chancellor I can announce that I will set up the New Enterprise Allowance that will be run by Chris Grayling.

If you have been unemployed for 6 months and want to start your own business we want to support you.

We will provide business mentoring and a financial package worth up to £2000 to get your business up and running.

We want to see 10 000 new small businesses by next year.


Well let's just back up a moment. He also says in his speech;

I'm all for fairness.

I will always fight for fairness for people who have fallen on hard times.

I will always fight for fairness for the very vulnerable.

But fairness must be a two way street.

I'm determined that the people who pay their taxes into this welfare state get a fair deal too.


How are the many self-employed plumbers, roofers, builders, electricians, retailers, cafe owners, cab drivers, couriers etc etc going to feel about the government using their money to fund 10,000 new competitors when times are already very tough?

Sorry, but I just don't think this guy has any hope of making the difference he has sworn to.

What is needed is less welfare; not more welfare, and not welfare under another name.

1 comment:

Anonymous said...

What is needed is not less welfare or different welfare but no welfare!

(where welfare includes health services, socialist schools, etc etc etc)