Benefit Reforms Should Foster Opportunity, Not Obligation

The UK’s Shrinking Workforce and Rising Benefits Bill

A Concern for All Ages

The problem of a shrinking workforce and the rising benefits bill it entails is not limited to young adults. The UK’s lack of a post-pandemic bounceback in employment is a concern in other age groups, particularly the over-50s.

Reducing People on Sickness or Disability Benefits

If the new government intends to reduce the number of people on sickness or disability benefits from 2.8 million back to closer to the 2 million figure of five years ago, it needs to do this without coercion. As this column has argued often, one of the lessons of the past 14 years is that demoralising people is more likely to make them ill than productive.

Investing in Health Services and Boosting the Labour Market

The government’s argument is that by investing in the health service, particularly in areas with the longest waiting lists, while also boosting the labour market, they can nudge the nation back towards a better overall state of health. This approach prioritizes support and encouragement over punishment and coercion.

Linking Jobcentres with Other Services

Linking jobcentres with other services is constructive and in line with a health reform agenda that emphasises prevention, early intervention, and co-working with councils and the voluntary sector. The limited nature of many jobs on offer is one problem that can’t be solved by this approach alone.

One in Eight Young People Not in Education, Employment or Training

One in eight young people in the UK are not in education, employment, or training. This is a dismal statistic that highlights the need for reform. The government’s argument is that by investing in the health service and boosting the labour market, they can nudge the nation back towards a better overall state of health.

A Reasonable Approach

Policies to incentivise employment were inevitable given the shifts of the past few years. As long as social and health support systems are in place, this approach is a reasonable one. The government’s intentions to reduce the number of people on sickness or disability benefits without coercion are a step in the right direction.

A Call for Action

The UK needs to find ways to encourage young people to work and undertake training without resorting to coercion. By investing in the health service and boosting the labour market, the government can foster economic development that creates more fulfilling opportunities and lives. It is time for a change in approach, one that prioritizes support and encouragement over punishment and coercion.