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Benefit reforms 'mean fair deal' Benefit reforms 'mean fair deal'
(10 minutes later)
Plans to force more benefit claimants to prepare for work or face losing payments are a "fair deal", says Work and Pensions Secretary James Purnell.Plans to force more benefit claimants to prepare for work or face losing payments are a "fair deal", says Work and Pensions Secretary James Purnell.
Private firms will be paid get people back to work while those unemployed for a year will have to do four weeks' full time activity, he said.Private firms will be paid get people back to work while those unemployed for a year will have to do four weeks' full time activity, he said.
Most people on incapacity benefit would be expected to attend job interviews.Most people on incapacity benefit would be expected to attend job interviews.
The Conservatives said they would back the plans in the face of an expected "big rebellion" from Labour MPs.The Conservatives said they would back the plans in the face of an expected "big rebellion" from Labour MPs.
A welfare reform bill is expected to be published in January and any changes would come in in 2010/11.A welfare reform bill is expected to be published in January and any changes would come in in 2010/11.
Outlining the white paper, Mr Purnell told MPs it would adopt in full recommendations made by the Freud Review last year, which said private and voluntary organisations should be paid to get people back to work. Treatment allowance
Outlining the welfare white paper, Mr Purnell told MPs it would adopt in full recommendations made by the Freud Review last year, which said private and voluntary organisations should be paid to get people back to work.
It also supported the "vision" of last week's Gregg Review, which said most people on incapacity benefit and lone parents on income support should be looking for work or preparing for it through courses and regular interviews.It also supported the "vision" of last week's Gregg Review, which said most people on incapacity benefit and lone parents on income support should be looking for work or preparing for it through courses and regular interviews.
Mr Purnell told MPs unemployed people would be expected to do four weeks' full time activity after a year out of work. Mr Purnell told MPs unemployed people would be expected to do four weeks' full-time activity after a year out of work.
What makes the proposals really significant is that they represent a consensus between the Labour and Tory leaderships Nick RobinsonBBC political editor Read Nick's blog in fullQ&A: Welfare reform
There would also be pilot schemes requiring Jobseekers' Allowance claimants to work for their benefits after two years.There would also be pilot schemes requiring Jobseekers' Allowance claimants to work for their benefits after two years.
Under the plans drug users would get a treatment allowance instead of unemployment benefits - and would have to show they were addressing their addiction to receive them.Under the plans drug users would get a treatment allowance instead of unemployment benefits - and would have to show they were addressing their addiction to receive them.
Mr Purnell told MPs: "We want virtually everyone who is claiming benefits to be preparing for work or looking for work. It is a fair deal, more support in return for higher expectations."Mr Purnell told MPs: "We want virtually everyone who is claiming benefits to be preparing for work or looking for work. It is a fair deal, more support in return for higher expectations."
Unemployment count
He added: "Today, when the national effort is about a global downturn, we can no more afford to waste taxpayers' money on those who play the system than they could then.He added: "Today, when the national effort is about a global downturn, we can no more afford to waste taxpayers' money on those who play the system than they could then.
"But most of all we cannot afford to waste a single person's talent.""But most of all we cannot afford to waste a single person's talent."
He said mistakes had been made in the 1980s and 1990s when hundreds of thousands of people were put on inactive benefits to keep the unemployment count down. Mr Purnell said mistakes had been made in the 1980s and 1990s when hundreds of thousands of people were put on inactive benefits to keep the unemployment count down.
People's views on benefits reform
He said £1.3bn would be spent helping people find work but there would be "increasing requirements" on people the longer they are out of a job.He said £1.3bn would be spent helping people find work but there would be "increasing requirements" on people the longer they are out of a job.
"After a year, everyone will be allocated to a private or voluntary provider, and expected to do four weeks' full-time activity. After two years, we will pilot requiring people to work full-time for their benefit." "After a year, everyone will be allocated to a private or voluntary provider, and be expected to do four weeks' full-time activity. After two years, we will pilot requiring people to work full-time for their benefit."
But the Lib Dems said proposals in the Gregg Review to encourage single parents with children as young as one to prepare for work were "a step too far".But the Lib Dems said proposals in the Gregg Review to encourage single parents with children as young as one to prepare for work were "a step too far".
'Big rebellion'
The Conservative work and pensions spokesman Chris Grayling also said making lone parents of one-year-olds prepare for work was "just plain wrong".The Conservative work and pensions spokesman Chris Grayling also said making lone parents of one-year-olds prepare for work was "just plain wrong".
But he told Mr Purnell the government had adopted Tory policies adding: "That is why I can assure you today that there is no doubt, we know you are going to face a big rebellion on the Labour backbenches, can I assure you that we will give these proposals our support." But he told Mr Purnell the government had adopted Tory policies, adding: "That is why I can assure you today that there is no doubt, we know you are going to face a big rebellion on the Labour backbenches, can I assure you that we will give these proposals our support."
Mr Purnell was outlining details of the welfare reform white paper - the final stage before proposals are introduced in the form of a bill - telling MPs that it was based on the principle that "virtually everyone has to do something in return for their benefits".
He said the bill would incorporate many of the recommendations of last week's Gregg Review.
This recommended that everyone on benefits, apart from the severely ill or disabled, some carers and parents of children under one, should either be actively looking for or preparing themselves for work.
What makes the proposals really significant is that they represent a consensus between the Labour and Tory leaderships Nick RobinsonBBC political editor Read Nick's blog in fullQ&A: Welfare reform
The government's plans - which are likely to be resisted by some Labour MPs - will include penalties for people who turn down reasonable job offers or interviews.
Mr Purnell said he agreed with the "vision" of the Gregg report and last year's review by David Freud who said private and voluntary groups should be paid to help get people back to work.
"It is a fair deal," he said of the proposals.
"More support for higher expectations. It is a deal which has always underpinned the welfare state."
'Repeat offenders'
Ahead of his Commons statement Mr Purnell told the BBC leaving people on benefits was "actually the cruel thing to do because it's bad for them and their families".
Support would be available for those who wanted to find work but for the "very small group of repeat offenders" would face "clear financial sanctions" where appropriate.
People's views on benefits reform
Making people "live up to their obligations" had always been at the heart of the welfare state since it was created, said Mr Purnell.
But he stressed that single parents would not be forced to seek work unless there was adequate childcare available to them.
"We can't afford to waste taxpayers' money on people who are playing the system, but most of all we can't afford to waste people's talent and that's why we need a welfare state that is active and helps people back into work."
'Dismantling welfare state'
The Conservatives are likely to support the proposals as they say they suggested them almost a year ago.
Mr Grayling said he believed the reforms were "mostly right for Britain" but accused Labour of wasting past opportunities.
"For 10 years the government has been telling us it has the policies to solve the problem. But it hasn't worked. Britain really now needs a fresh direction," he added.
Lib Dem work and pensions spokesman Jenny Willott said: "We need drastic reform of the welfare state, but this should be achieved without isolating vulnerable groups".Lib Dem work and pensions spokesman Jenny Willott said: "We need drastic reform of the welfare state, but this should be achieved without isolating vulnerable groups".
HAVE YOUR SAYI think this move is 10 years too late. The government should have acted on this issue years agoLes Challoner, St HelensSend us your commentsHAVE YOUR SAYI think this move is 10 years too late. The government should have acted on this issue years agoLes Challoner, St HelensSend us your comments
But the government faces opposition from Labour backbenchers like John McDonnell who said the government was "dismantling the welfare state". The Gregg review recommended that everyone on benefits, apart from the severely ill or disabled, some carers and parents of children under one, should either be actively looking for or preparing themselves for work.
The Parkinson's Disease Society, which said the illness was commonly misunderstood because of its "fluctuating and unpredictable nature" and urged ministers to ensure those making decisions to impose sanctions were properly trained to deal with complex conditions like Parkinson's. Mr Purnell has stressed that single parents would not be forced to seek work unless there was adequate childcare available to them.
Plaid Cymru MP Hywel Williams said many of the proposals seemed to be "inappropriate and unworkable", especially during the economic downturn. The government faces opposition from Labour backbenchers like John McDonnell who said the government was "dismantling the welfare state".
'Half-baked''Half-baked'
The Parkinson's Disease Society, which said the illness was commonly misunderstood because of its "fluctuating and unpredictable nature", urged ministers to ensure those making decisions to impose sanctions were properly trained to deal with complex conditions like Parkinson's.
Plaid Cymru MP Hywel Williams said many of the proposals seemed to be "inappropriate and unworkable", especially during the economic downturn.
He said fewer than 20,000 job vacancies were advertised in Wales while there were 330,000 working age people on benefit.He said fewer than 20,000 job vacancies were advertised in Wales while there were 330,000 working age people on benefit.
"Simply put, there aren't enough jobs for everyone and the situation seems to be worsening," he said."Simply put, there aren't enough jobs for everyone and the situation seems to be worsening," he said.
For the Scottish National Party, John Mason MP said the reforms risked demonising the unemployed.For the Scottish National Party, John Mason MP said the reforms risked demonising the unemployed.
"While we will look cautiously and constructively at the wider proposals, half-baked and draconian reforms are not the answer," he said."While we will look cautiously and constructively at the wider proposals, half-baked and draconian reforms are not the answer," he said.
Ministers have made welfare reform a centrepiece of their legislative proposals over the next year, arguing that to abandon such a course of action in the face of a recession would be wrong.