Sunday, June 24, 2012

PM considers big cuts to benefits

David CameronDavid Cameron said the existing welfare system was sending out "strange signals"

The prime minister has suggested that people under the age of 25 could lose the right to housing benefit, as part of moves to cut the welfare bill.

Scrapping the benefit for that age group would save almost �2bn a year.

In an interview in the Mail on Sunday, David Cameron said he wanted to stop those who were working from feeling resentment towards people on benefits.

Mr Cameron said the existing system was sending out "strange signals" on working, housing and families.

He called for a wider debate on issues including the cost of benefits.

BBC political correspondent Vicki Young said the article was a clear appeal to core Tory voters and MPs who have criticised Mr Cameron for failing to promote Conservative values.

'Trapped in welfare'

The Mail quoted Mr Cameron contrasting a couple living with their parents and saving before getting married and having children with a couple who have a child and get a council home.

"One is trapped in a welfare system that discourages them from working, the other is doing the right thing and getting no help," he said.

Mr Cameron said the welfare system sent out the signal that people were "better off not working, or working less".

"It encourages people not to work and have children, but we should help people to work and have children," he said.

He said that he also favoured new curbs on the Jobseeker's Allowance.

Downing Street said they were Conservative plans for after the next general election.

Later this week, Mr Cameron will set out more proposals for proposals aimed at cutting the UK's welfare bill.

The Mail said those under consideration included forcing some unemployed to do community work after two years on benefits.

In March, the government's Welfare Reform Act received Royal Assent.

That Act - which applies to England, Scotland and Wales - introduces an annual cap on benefits and overhauls many welfare payments.

Source: http://www.bbc.co.uk/news/uk-politics-18567855#sa-ns_mchannel=rss&ns_source=PublicRSS20-sa

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