Rachel Reeves has pledged to cut sickness benefits ‘in weeks’ in a bid to stop funding ‘jobless Britain’.
Tonight, the Chancellor promised to make reforms to the UK’s welfare state, bringing forward plans to slash benefits for people who claim to be too ill to work.
In The Sun on Sunday, Labour’s Chancellor pointed to the 2.8M currently out of work ‘due to bad health’ and said as many as 420,000 more households are likely to claim Universal Credit by 2030.
It is not yet clear which specific benefits the Chancellor plans to target, with PIP (Personal Independence Payments) having already been subject to scrutiny last year when former Prime Minister Rishi Sunak announced plans to review cash payments for the benefit, with possible replacements, including vouchers for claimants instead.
Reeves tonight announced changes to the welfare system aimed at overhauling the DWP as she said: “As a country we cannot keep footing the bill for the spiralling numbers of people out of work.
“Our Get Britain Working White Paper will turn the DWP from a Department of Welfare into a Department for Work.
“No one should be able to defraud the taxpayer and get away with it. So we’re introducing the biggest welfare fraud and error package in recent history, including new powers to prevent and deter fraud in the benefits system.”
Reeves announced new changes aimed at those who ‘cheat the system’, including revoking driving licences and having money automatically taken from people’s bank accounts without permission.
She continued: “That means those who cheat the system could have their driving license removed, and those who refuse to pay stolen money will face having it taken from their bank account.”
A new Public Authorities (Fraud, Error & Recovery) Bill will introduce new powers, which the government says will save £1.5M in the next five years.
Secretary of State for Work and Pensions, Liz Kendall, said: “We are turning off the tap to criminals who cheat the system and steal law-abiding taxpayers’ money.
“This means greater consequences for fraudsters who cheat and evade the system, including as a last resort in the most serious cases removing their driving licence. Backed up by new and important safeguards including reporting mechanisms and independent oversight to ensure the powers are used proportionately and safely.
“People need to have confidence the Government is opening all available doors to tackle fraud and eliminate waste, as we continue the most ambitious programme for government in a generation – with a laser-like focus on outcomes which will make the biggest difference to their lives as part of our Plan for Change.”
