Tories would prevent long-term jobless spending benefits on alcohol and cigarettes
The proposals would also see benefits cut for people who are able to work but have failed to hold down a job.
The Conservatives have pledged to bar long-term unemployed individuals from using their welfare funds to purchase alcohol, cigarettes, or gamble. Under the proposed amendments, those jobless for over six months would face a 30% reduction in their Universal Credit payments, should they have inadequately contributed to the system despite employment opportunities.
The reduced benefit would be distributed via a "Back to Work" card, which would prohibit cash withdrawals or the aforementioned expenditures. The Conservatives argue this policy intends to motivate individuals back into employment and curtail the rapidly increasing welfare expenditure, while Labour dismisses the plan as "unworkable."
Labour's spokesperson criticized the Conservatives for failing to implement meaningful welfare reforms over a span of 14 years and emphasized the card scheme's ineffectiveness in addressing the number of people receiving benefits. The Tories anticipate that the changes would relocate approximately 350,000 claimants to the lower Universal Credit rate, saving around £538m annually.
Furthermore, the party claims that those capable of work would receive six months of full benefits to secure employment, while those who have previously contributed would accumulate an extra year of full-rate payments every two years. However, Labour and Trussell Trust, an anti-poverty charity, argue that the proposed measures are misguided, citing Universal Credit's insufficient coverage of essential necessities and the detrimental impact on claimants' health and potential for employment.
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