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David Cameron unveils welfare changes in drive to end youth unemployment David Cameron unveils welfare changes in drive to end youth unemployment
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David Cameron has unveiled a scheme that will bar childless 18 to 21-year-olds from housing benefit and remove their entitlement to jobseeker’s allowance after six months of failing to find a job.David Cameron has unveiled a scheme that will bar childless 18 to 21-year-olds from housing benefit and remove their entitlement to jobseeker’s allowance after six months of failing to find a job.
He said the move was part of plan to end youth unemployment.He said the move was part of plan to end youth unemployment.
The Conservatives also announced they were lowering the maximum benefit cap from the current level of £26,000 to £23,000 a year. The Tories had hoped to make the welfare cuts the big story of the first day its party conference, but the policy initiative was overshadowed by the defection of the MP Mark Reckless to Ukip and the resignation of minister Brooks Newmark over a sexting scandal.The Conservatives also announced they were lowering the maximum benefit cap from the current level of £26,000 to £23,000 a year. The Tories had hoped to make the welfare cuts the big story of the first day its party conference, but the policy initiative was overshadowed by the defection of the MP Mark Reckless to Ukip and the resignation of minister Brooks Newmark over a sexting scandal.
The plan was previously proposed by the Conservatives but rejected by the deputy prime minister, Nick Clegg. Any young person who has failed to find a job after six months on the dole will have to go on a community work scheme.The plan was previously proposed by the Conservatives but rejected by the deputy prime minister, Nick Clegg. Any young person who has failed to find a job after six months on the dole will have to go on a community work scheme.
Cameron said on BBC1’s Andrew Marr Show: “At heart I want us effectively to abolish youth unemployment. I want us to end the idea that aged 18 you leave school, go and leave home, claim unemployment benefit and claim housing benefit. We should not be offering that choice to young people. We should be saying to people you should be earning or learning.Cameron said on BBC1’s Andrew Marr Show: “At heart I want us effectively to abolish youth unemployment. I want us to end the idea that aged 18 you leave school, go and leave home, claim unemployment benefit and claim housing benefit. We should not be offering that choice to young people. We should be saying to people you should be earning or learning.
“We are not talking about those people with children. This is about single people aged 18 to 21. You can start a life on dependency and that is no life at all, that is no future for your children when you do have them. We are saying save the money, make sure after six months every one of those young people has to do a job or in training and use the savings to provide three million apprentices”.“We are not talking about those people with children. This is about single people aged 18 to 21. You can start a life on dependency and that is no life at all, that is no future for your children when you do have them. We are saying save the money, make sure after six months every one of those young people has to do a job or in training and use the savings to provide three million apprentices”.
He defended the cut to the welfare cap, arguing that a better education system and welfare reform was one of the best ways to lower immigration. “All the evidence is the cap is too loose, particularly in some parts of the country, so bringing it down saves money, will mean more families getting into work, and what I want to see – the plan we have for Britain – is to spend less money on welfare and more on helping people into work.”He defended the cut to the welfare cap, arguing that a better education system and welfare reform was one of the best ways to lower immigration. “All the evidence is the cap is too loose, particularly in some parts of the country, so bringing it down saves money, will mean more families getting into work, and what I want to see – the plan we have for Britain – is to spend less money on welfare and more on helping people into work.”
The chancellor, George Osborne, said: “It is not acceptable for young people under the age of 21 to go straight from school or on to benefits and into a home paid for through housing benefit – benefit funded by other people who are working.” He said single parents and those coming out of care would be exempt from the exclusion of housing benefit.The chancellor, George Osborne, said: “It is not acceptable for young people under the age of 21 to go straight from school or on to benefits and into a home paid for through housing benefit – benefit funded by other people who are working.” He said single parents and those coming out of care would be exempt from the exclusion of housing benefit.
Jobseeker’s allowance (JSA) is currently worth £50.95 per week for those aged 16 to 24 and £64.30 for those over 25. JSA will be replaced with a six-month allowance, after which claimants will have to do community work if they have failed to find a job or an apprenticeship. Jobseeker’s allowance (JSA) is currently worth £57.35 a week for those aged 16 to 24 and £72.40 for those over 25. JSA will be replaced with a six-month allowance, after which claimants will have to do community work if they have failed to find a job or an apprenticeship.
New apprentices will be paid with savings from cutting the welfare benefit. There are currently 150,000 18 to 21-year-olds on JSA.New apprentices will be paid with savings from cutting the welfare benefit. There are currently 150,000 18 to 21-year-olds on JSA.
Also in the Marr interview, Cameron said that in the event of a Tory election victory in 2015 Boris Johnson would only be able to join the cabinet after he had finished his term as London mayor in 2016.Also in the Marr interview, Cameron said that in the event of a Tory election victory in 2015 Boris Johnson would only be able to join the cabinet after he had finished his term as London mayor in 2016.
In other pre-conference interviews Cameron admitted he had contemplated having to resign if Scotland had voted for independence. He told the Sun on Sunday: “I thought about resigning because I care so passionately about this issue. If the vote had been for Scotland to leave the UK, I genuinely would have been heartbroken, I would have felt winded and wounded.In other pre-conference interviews Cameron admitted he had contemplated having to resign if Scotland had voted for independence. He told the Sun on Sunday: “I thought about resigning because I care so passionately about this issue. If the vote had been for Scotland to leave the UK, I genuinely would have been heartbroken, I would have felt winded and wounded.
“Emotionally one would have thought I am so saddened by this I find it difficult to go on. Of course I contemplated having to go. I thought what is the right thing to do, in many ways the easiest thing would have been to say I feel wounded by this and walk away. I’m sure it would have been absolutely awful.”“Emotionally one would have thought I am so saddened by this I find it difficult to go on. Of course I contemplated having to go. I thought what is the right thing to do, in many ways the easiest thing would have been to say I feel wounded by this and walk away. I’m sure it would have been absolutely awful.”
On the Marr programme he said: “We will get Scottish devolution and the English question properly answered.” He said he would not be able to reach an agreement with Labour on the English question and devolution to Scotland before the election. “You can have Ed Miliband and devolution to the Scottish and nothing for the English, or you can have David Cameron and you get Scottish devolution and a proper answer to the English question,” he said.On the Marr programme he said: “We will get Scottish devolution and the English question properly answered.” He said he would not be able to reach an agreement with Labour on the English question and devolution to Scotland before the election. “You can have Ed Miliband and devolution to the Scottish and nothing for the English, or you can have David Cameron and you get Scottish devolution and a proper answer to the English question,” he said.
Chris Goulden, the head of poverty research at the independent Joseph Rowntree Foundation, said: “Providing routes to secure, well-paying work is the right approach to reducing poverty. But this should not come at the expense of people in receipt of out-of-work benefits.Chris Goulden, the head of poverty research at the independent Joseph Rowntree Foundation, said: “Providing routes to secure, well-paying work is the right approach to reducing poverty. But this should not come at the expense of people in receipt of out-of-work benefits.
“The household benefit cap may be a popular but in fact it does little to cut the deficit. The existing cap affects just 40,000 families, cutting their incomes by £93 a week on average. If we want to reduce the welfare bill, we need to address the underlying drivers of poverty; the high cost of housing, low pay and barriers to work such as affordable childcare.”“The household benefit cap may be a popular but in fact it does little to cut the deficit. The existing cap affects just 40,000 families, cutting their incomes by £93 a week on average. If we want to reduce the welfare bill, we need to address the underlying drivers of poverty; the high cost of housing, low pay and barriers to work such as affordable childcare.”
• This article was amended on 30 September 2014. It originally said Jobseeker’s allowance was worth £50.95 a week for those aged 16 to 24 and £64.30 for those over 25. It is actually £57.35 and £72.40 respectively. This has been corrected.