A couple of days ago, Liam Byrne the Shadow Secretary of State for Work and Pensions (with the support of Ed Miliband), wrote that Labour needs to change it’s policies on welfare. I’m inclined to agree with him. As a Party, the Public’s perception of us on welfare is not good. Byrne writes that “On jobs and benefits we need another tough-minded social revolution”. He’s right.
It’s very easy for Labour people to say that this is about pandering to the Daily Mail’s agenda on welfare. It isn’t. They say that we should tackle jobs and growth first. They are partly correct. We need to cope with the vast unemployment, particularly youth and female unemployment that is present in our society. We also need to deal with a problem that Labour didn’t do enough to fix when we were in Government – Welfare.
Byrne’s article in the Guardian reminds us that one of the 5 societal ills that Beveridge identified in his famous report was idleness. Labour has an opportunity to put forward it’s own vision whilst it is in opposition. We are not constrained by being in Government, so we can afford, occasionally to go a little bit off piste, and be bold.
Its time for Labour to restore the idea of “something for something”. The Government should reward those who develop their skills, go out into the world and better themselves. Benefits should not be there for people who can’t be bothered to get up in the morning.
Benefits should be there for the people who really need the support of the Government. The people who are disabled, unwell, and unfit and are workless. The people who cannot fend for themselves. It is absolutely right that Labour stand up for these people. The Tories and Lib Dems won’t. They are cutting Employment and Support Allowance.
It is important that we restore the link between contributing to and receiving from society. In order to do this, the benefit system should be radically changed to protect those who are in real need, whilst encouraging those that can work, whether full or part time, back into work.
HMRC Income and DWP Benefit Expenditure, 2001-2011
The total cost of benefits has increased by £50bn between 2001 and 2011. This is unsustainable.
Reform of the welfare state is vitally important. It should be there to provide a safety net for those that needed. It should be there for those who contribute to society. Owen Jones on LabourList says that Byrne has “capitulated” by criticising “scroungers”. It is ridiculous -Jones effectively states that Labour is betraying its working class roots by not sheltering those who don’t work when they can.
Cost of Benefit Fraud and Error, 2001-2011
Benefit Fraud has returned to 2001 levels and it will only get worse as the economy weakens - especially if we head back into a recession.
Peter Watt at Labour Uncut identifies some Labour principles that we should adopt:
1) People who are in receipt of welfare payments are not “scroungers” and the use of this sort of language is not helpful. It panders to prejudice, rather than tackling the underlying problem and is not where Labour, as a party of social justice, should ever be. Not accepting this language is not however the same as understanding that some people feel this.
2) There are benefits for those who are temporarily unable to work, who need supporting and ultimately helping back into work or to stay in work. And there are benefits for those who are not able to work at all. People in the latter category, those for instance who have a disability that makes work impossible, and who have no other means of support, should be supported by the state come-what-may. The extent to which we do this is a measure of the sort of society that we believe in.
3) People who claim benefits that they are not entitled to, or who abuse the system in order to avoid work, undermine the system for those who are entitled to benefits. Does this mean that we are allowing notions of the deserving and undeserving poor? Yes, too right we are. If you can work and choose not to, then you do not deserve to be supported by those who are working. And we should not be ashamed to say so or to clamp down on them. Allowing people to live a life on benefits if they are able to work is not only unfair on tax payers it is also immoral. It condemns thousands to a life of poverty, kills aspiration and can all too easily become inter-generational.
4) People should expect to have to pay something for the benefits that they receive. We all understand how insurance works – you pay a premium so that if the insured event occurs you can claim. If you have never worked and never paid tax then you should not expect to be able to claim. Does this mean that there shouldn’t be a safety net? No. But it certainly means that it should be just that – a safety net with limits. If you have paid your premium, then you should expect to be reasonably supported. But this support should be linked to expectations that you will endeavour to move off benefits as soon as you are able.
All excellent statements, which remind those who choose to criticise the Labour Leadership that this isn’t about demonising anybody but the criminal few who try to have it easy.
An added dash of responsibility will do no Labour any harm at all, and may serve as a reminder that this is about the minority who choose to break the law, lie, and steal from society. Labour needs to show that it is on the side of the working man and woman.
