Benefits bill “soaring”

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  • #46159
    peterdelamothe
    Keymaster

    Figures released alongside last week’s Budget show that the Treasury has had to revise sharply upwards its official forecast for spending on benefits, even though the previous estimate was only made at the Autumn Statement in December.

    Figures show the forecast spend on benefits and tax credits in the five years between 2011/2 and 2015/16 has now jumped by £6.4billion since December 5.

    It means that every day since Chancellor George Osborne delivered his Autumn Statement, the projected benefits bill has risen by £61million.

    The revised figures mean that Mr Osborne is now on course to spend £20billion more on benefits than he had expected at the start of the Coalition.  

    #130222
    John Boxall
    Participant

    So, how about………….

    1. Make employers pay a living wage
    2. Build Council Houses
    3. Bring Back Rent Controls

    Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery. The blossom is blighted, the leaf is withered, the god of day goes down upon the dreary scene, and—and in short you are for ever floored.

    Wilkins Micawber, Ch12 David Copperfield

    #130224
    peterdelamothe
    Keymaster

    I think the point is that all the “cuts” are achieving very little…not saving money anyway. Too many people are “working” and claiming…..setting up limited companies for instance and claiming as a director is something that has grown dramatically. It pushes people off the unemployment figures of course but the financial cost just in terms of the tax credits…..

    What this suggests is that much bigger cuts are likely after the next election.

    #130226
    John Boxall
    Participant

    I dont know how it’s going with self employed claims, but as far as employed earners go it seems to me that there is a significant issue over ‘making work pay’ for the poor taxpayer

    Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery. The blossom is blighted, the leaf is withered, the god of day goes down upon the dreary scene, and—and in short you are for ever floored.

    Wilkins Micawber, Ch12 David Copperfield

    #130235
    seanosul
    Participant

    More “localism”, from the budget:
    [quote]
    the Government will strengthen the public spending framework by introducing a firm limit on a significant proportion of Annually Managed Expenditure (AME), including areas of welfare expenditure. This will be designed in a way that allows the automatic stabilisers to operate to support the economy.[/quote]

    http://cdn.hm-treasury.gov.uk/budget2013_complete.pdf

    #130249
    Lee Fearon
    Participant

    Yes Sean. This is very worrying as it seems to imply that Benefit rates will be revised down if the Government doesn’t meet welfare spending targets. i.e. if more people claim Benefits, consequently increasing the welfare spend, the Government will reduce benefit rates in order to keep within budget.

    #130255
    andyrichards
    Participant

    15 JC+ districts have apparently triggered Cold Weather payments – in late March. Trying to second guess future benefit expenditure is a hazardous game…….

    #130289
    John Boxall
    Participant

    Funnily enough I was over at a friends last night.

    He’s an ex benefiteer, now training as a Social Worker (Interesting tales there!!) He’s having to do an essay on the welfare state & the increase in cost since the Thatcher years is in the region of 4 fold………..

    Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery. The blossom is blighted, the leaf is withered, the god of day goes down upon the dreary scene, and—and in short you are for ever floored.

    Wilkins Micawber, Ch12 David Copperfield

    #130298
    jmembery
    Participant

    Well, well, if Governments pursue deflationary policies they get deflation, who would have thought it?

    #130317
    RobBox
    Participant

    http://www.bbc.co.uk/news/uk-scotland-21953895

    Ouch……….and last para IDS says not cutting Welfare expenditure, just slowing it down $)

    #130320
    Anonymous
    Guest

    It seems as though Labour, Liberals & the SNP are trying to face both ways on payment of the bedroom tax and no evictions policy.

    If the eight SNP led local authorities do adopt a no eviction policy for bed tax arrears, they can pretty much write off any meaningful collection of the rent liability now – as few, if any tenants will pay.
    Equally though, for authorities hanging on to eviction as a last resort policy, collection rates are still likely to be too low to prevent cuts in services that tenants’ rents pays for.
    All this assuming that authorities would actually ‘win’ an eviction case in court for bed tax arrears alone. Sheriffs may not be willing to grant eviction decrees in any case. Plenty of legal challenges can be expected if eviction is the route landlords go for some cases.

    A lot more controversy and confusion to come

    #130353
    John Boxall
    Participant

    The whole thing looks like a mess.

    Will Courts award posession in Bedroom Tax cases – it seems probably not

    Possible Impact – huge on RSL’s finances

    Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery. The blossom is blighted, the leaf is withered, the god of day goes down upon the dreary scene, and—and in short you are for ever floored.

    Wilkins Micawber, Ch12 David Copperfield

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