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Single parents 'must find work' Blair unveils welfare reform plan
(about 2 hours later)
Single parents could have to look for work once their child turns 12 if they want benefits, a welfare report says. Private firms and charities should have a bigger role in helping people off benefit and into work, a report backed by Tony Blair and Gordon Brown says.
The government-commissioned report said cutting the age from 16 to 12 was needed as part of a major overhaul of welfare services. David Freud's reports suggests private firms and voluntary groups give individually tailored help to cut long term benefit numbers by 1.3m.
At the report's launch Tony Blair and Gordon Brown both backed its call to extend the role of the voluntary and private sectors in helping people. This would have a "major impact" on public finances and release many people "from hopelessness", he says.
Mr Blair said "we need an even greater effort" from people to get into work.Mr Blair said "we need an even greater effort" from people to get into work.
He said the changes were necessary to ensure that the future welfare state was affordable, particularly in providing the basic state pension. Plans include making single parents look for work once their child turns 12, rather than the current 16.
"If we want to be able to afford that welfare state then we've got to get even more people off benefit and into work which is why we've got an aspiration to raise the employment rate to some 80% of the workforce. The chancellor joined Mr Blair - who he is expected to succeed as prime minister - and Work Secretary John Hutton at the Downing Street launch of Mr Freud's report.
"That will be very tough to do, but if you look at the decades ahead if we're not able to do that we're going to face enormous pressure in affording our welfare state." Mr Blair said the future affordability of the welfare state was dependent on getting "even more people off benefit and into work".
Chancellor Gordon Brown said the report was the start of welfare reform "which I will champion". He said the goal was to get 80% of the workforce into work, acknowledging "that will be very tough to do".
If you want to present yourself well at an interview, you've got to look the part John HuttonWork and Pensions Secretary 'Sustained help'
The report, written by former city banker David Freud, was unveiled on Monday. Mr Freud, a former City banker, says in his report there had to be a cut in the number of people of working age on benefits for which they do not have to be actively seeking work.
Mr Freud was called in to reduce the number of people of working age on benefits for which they do not have to be actively seeking work. To meet the government's aim of 80% employment, about 1.3 million people would have to be removed from long-term benefits, he said. He said such people often have low skills and "multiple" disadvantages.
He said it was possible that in future lone parents could have to seek work when their children were younger than 12. "Such clients need sustained help, through pre-work training, which connects into the early years of their work experience," Mr Freud said.
His report recommended that JobCentre Plus should cater for the mass market of people seeking work, while people who were "harder to help" would be given individually tailored support through private or volunteer groups.His report recommended that JobCentre Plus should cater for the mass market of people seeking work, while people who were "harder to help" would be given individually tailored support through private or volunteer groups.
Improvements
Such private provision would be part of a "multi-billion pound market", he added.Such private provision would be part of a "multi-billion pound market", he added.
"More important than the financial figures though is the potential to transform hundreds of thousands of people's lives releasing them from deprivation and hopelessness."More important than the financial figures though is the potential to transform hundreds of thousands of people's lives releasing them from deprivation and hopelessness.
"And that in turn would lead to big improvements in the social fabric of our country.""And that in turn would lead to big improvements in the social fabric of our country."
He said it was possible that in future lone parents - for whom "work is an escalator out of poverty" - could have to seek work when their children were younger than 12.
He did not specify how young that could be, but did say that many people envied the Swedish system where the equivalent age limit for children is three.
'Well-equipped' Britain
His report said that organisations running the schemes should be given cash incentives for keeping people off benefits.His report said that organisations running the schemes should be given cash incentives for keeping people off benefits.
His report also called for consultation on a huge simplification of the benefits system, including possibly producing just one flat benefit rate for everyone of working age.
Chancellor Gordon Brown said the report was the start of welfare reforms "which I will champion".
He said: "It's through all these measures... that we will achieve our aspiration of not just 80% employment, but a Britain that is well-equipped to meet the economic challenges of the twenty-first century."
The Liberal Democrats said the use of the voluntary and private sector to help more people back into employment was welcome, "but this must be properly financed, and include provisions to help those with serious problems such as low skills or mental health problems".
Officials representing tens of thousands of JobCentre Plus workers said they feared compulsory redundancies amongst staff who currently deal with welfare-to-work programmes.Officials representing tens of thousands of JobCentre Plus workers said they feared compulsory redundancies amongst staff who currently deal with welfare-to-work programmes.
HAVE YOUR SAY All the current system does is reward those who want something for nothing. Jon Butler, UK Send us your commentsHAVE YOUR SAY All the current system does is reward those who want something for nothing. Jon Butler, UK Send us your comments
Mr Hutton told BBC One's Sunday AM he was prepared to cut the benefits of people who did not seek help or accept advice about finding work.
"The status quo, I think, is not defensible.
"We should be prepared to have an open mind about reform, but it will not be based on the principle that the first thing you do is cut people's benefits.
"You should never do that - that's the last resort."
Mr Hutton also did not rule out suggestions that money could also be made available to help the long-term unemployed buy a suit or get a haircut in preparation for their job hunt.
"For a lot of people it is about confidence building and sometimes, if you want to present yourself well at an interview, you've got to look the part," he said.
Those who are not working very often have good reasons for not doing so Chris PondOne Parent Families
Chris Pond, director of the group One Parent Families, told the BBC he thought forcing single parents into work was a bad idea.Chris Pond, director of the group One Parent Families, told the BBC he thought forcing single parents into work was a bad idea.
"It would be a real mistake to start cajoling lone parents, even those with older children, into jobs when it's just not right for them," he said."It would be a real mistake to start cajoling lone parents, even those with older children, into jobs when it's just not right for them," he said.
"Most lone parents with older children are already working. About 70% already have a job. Those who are not working very often have good reasons for not doing so.""Most lone parents with older children are already working. About 70% already have a job. Those who are not working very often have good reasons for not doing so."
Kate Green, chief executive of the Child Poverty Action Group, said policies should not just be about getting people jobs, but getting them the right sort of jobs.Kate Green, chief executive of the Child Poverty Action Group, said policies should not just be about getting people jobs, but getting them the right sort of jobs.
"Around half of children who are poor are in families where there is at least one adult in paid work, so I think it's very important to make sure that, if we're talking about more parents going out to work, that really it is the kind of work that can enable them properly to provide for their kids.""Around half of children who are poor are in families where there is at least one adult in paid work, so I think it's very important to make sure that, if we're talking about more parents going out to work, that really it is the kind of work that can enable them properly to provide for their kids."