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Labour under scrutiny for overseeing a "catastrophic mix" of welfare reliance

Growing concerns surround Universal Credit as data shows less than a third of beneficiaries are job-hunting. The criticism against Labour mounts due to allegations of fostering a spike in welfare-dependency via their questionable welfare policies. The...

Labour Charged with Overseeing a "Catastrophic Convergence" of Welfare Dependency
Labour Charged with Overseeing a "Catastrophic Convergence" of Welfare Dependency

Labour under scrutiny for overseeing a "catastrophic mix" of welfare reliance

Record Number of Britons on Jobless Benefits: Labour Government Faces Criticism

The United Kingdom is currently grappling with an unprecedented number of working-age individuals claiming out-of-work benefits, with over 6.5 million people now relying on these benefits. This record-breaking figure surpasses the previous peak seen in the past, according to reports.

The current Labour government, led by Prime Minister Keir Starmer, is facing criticism and pressure due to economic difficulties and rising unemployment. Critics argue that the Labour Party's policies are responsible for this situation.

Sir Iain Duncan Smith, the former Conservative leader, has accused Labour of creating a 'credit karma' by loosening access to sickness benefits and making it harder for businesses to take on new staff. He further argues that Labour's tax rises and new employment rules are choking job creation.

Helen Whately, the shadow work and pensions secretary, echoes similar sentiments, accusing Labour of weakening the economy and trapping millions of people in dependency. Whately states that the safety net has turned into a trap and that welfare urgently needs reform.

The Department for Work and Pensions (DWP) reports that only 31% of Universal Credit claimants are classified as 'searching for work'. This stark figure translates to six in ten Universal Credit claimants now facing no requirement to seek a job.

Moreover, over 200,000 young men aged 16-29 are now on Universal Credit with zero requirement to find a job. The steep fall in the percentage of Universal Credit claimants searching for work has coincided with a sharp rise in long-term sickness claims.

Spending on health and disability benefits for working-age adults is forecast to hit £75.7 billion by the end of the decade. This figure underscores the growing concern about the sustainability of the current welfare system.

The group of claimants with no job-seeking requirement grew by a third in the 12 months to February 2025. This trend is particularly concerning as more than one million foreign nationals are now claiming Universal Credit.

Keir Starmer has failed to deliver on a promise to rein in costs of Universal Credit, a promise that was made during the election campaign. This failure has added to the criticism and pressure that the Labour government is facing.

Whately believes that getting people off benefits and into work is a moral and economic imperative and that action should not wait until the next election. She urges the government to take immediate steps to reform the welfare system and address the root causes of unemployment.

As the economic situation continues to deteriorate, the Labour government will need to address these concerns and take steps to address the record number of Britons on jobless benefits. The future of the welfare system and the economy hang in the balance.

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