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Tories plan benefit claim reform Tories plan benefit numbers cut
(about 3 hours later)
The Conservatives are to unveil plans for incapacity benefit reforms which would require all claimants to be assessed to prove they cannot work. The Conservatives have promised to cut the number of incapacity benefit claimants in Britain by 200,000.
The Tories say their plans, to be announced later, would mean 200,000 people losing their benefit. Tory leader David Cameron said too many people were able to work, but did not.
Incapacity benefit is claimed by 2.64m people across the country at an estimated annual cost of £12.5bn. The party is pledging to bring in more regular tests for people claiming the benefit - which costs the taxpayer £12.5bn every year.
Some disability groups have criticised the plans, saying that levels of fraud are low. Labour say the Tories have copied their ideas.
Paid by results
Under the Conservative plans, to be announced in full on Tuesday, all existing and new Incapacity Benefit (IB) claimants would have to attend an "in-depth assessment" to evaluate their needs and capabilities and decide if they are able to work.
The idea that you can test everybody and unceremoniously dump people onto the Jobseekers Allowance is short-sighted to say the least Sue Christoforou, Mind
Those deemed fit to work would be taken off IB and put onto Jobseekers' Allowance.
This would mean a £20-a-week cut in benefits and a requirement to seek work immediately.
The Tories are promising that those who have the "potential" to be able to work would be referred to specialised welfare-to-work providers who would help them prepare them for jobs and would be paid by results.
People with permanent disabilities which make it impossible to work would continue to receive "unconditional" support, but those with non-permanent conditions would be subject to regular checks.
Writing in the News of the World, Mr Cameron said he was particularly shocked by the rising number of younger IB claimants.
An estimated 500,000 people are now claiming IB, while claims from under-25s have risen by more than half over the last 10 years.
INCAPACITY FIGURES 2.64m people claim IBIt costs the country £12.65bn every yearMore than half of IB claimants have been on benefit for 5 years or moreThe number of young people claiming IB is up by a half
Mr Cameron said: "I don't believe that there are nearly half a million young people in Britain with a disability which prevents them from doing any work at all.
"What we have is a culture of despair, where kids grow up with the idea that for our society to function everyone has to pull their weight if they can."
Benefit fraud
The Conservatives are the latest party to focus on the large number of IB claimants, estimated to have nearly quadrupled since the 1970's.
The figure has fallen slightly over recent years to about 2.6m people - but experts are still puzzled at the overall trend, given the UK's rising health and living standards.
There have also been a number of high-profile cases of apparently healthy people fraudulently claiming the benefit, while secretly holding down physically demanding jobs.
The government has already pledged to introduce tougher tests for those claiming IB from this autumn. It says it expects to cut the number of claimants by 20,000 each year.
But the tests will initially apply only to new claimants, while the Conservatives say they are determined to make all claimants - including existing ones - prove they qualify for the £81-a-week benefit.
Black hole
Work and Pensions Secretary Peter Hain accused the Tories of copying the government's ideas.Work and Pensions Secretary Peter Hain accused the Tories of copying the government's ideas.
He said: "They are plagiarising plans already announced by us before Christmas and seeking to present them as their own.He said: "They are plagiarising plans already announced by us before Christmas and seeking to present them as their own.
Income cut
"The Tories have no credible plan to fund an expansion in 'welfare to work'. Far from achieving the massive savings the Tories need to fund their tax changes, these plans require significant investment in the short term which leaves them with a black hole in their spending plans.""The Tories have no credible plan to fund an expansion in 'welfare to work'. Far from achieving the massive savings the Tories need to fund their tax changes, these plans require significant investment in the short term which leaves them with a black hole in their spending plans."
Under Conservative plans, people removed from incapacity benefit would be given Job Seekers' Allowance and have their income cut by £20 a week. About 40% of those claiming IB do so for mental health reasons.
While claiming Job Seekers' Allowance, people must demonstrate that they are looking for work, or their benefit is cut. Sue Christoforou of the mental health charity Mind told the BBC: "The idea that you can test everybody and unceremoniously dump people onto the Jobseekers Allowance is short sighted to say the least.
We think it's time to take tough action against those who are deliberately staying at home and claiming benefits rather than going back to work Chris Grayling, Shadow work and pensions secretary "What is needed is support that will help people return to the workplace."
The government is set to introduce its own tougher tests in the autumn, expected to cut the number of claimants by 20,000 each year. Slag heap
Under the Conservatives' proposals, people who are confirmed to be too sick to work would still be paid their full benefits, but would be re-assessed at regular intervals. She said existing claimants already faced a continuing assessment of their right to receive the benefit and that the fraud rate - which she estimated was 0.5% of all IB claims - was very low.
Shadow work and pensions secretary Chris Grayling said: "We think it's time to take tough action against those who are deliberately staying at home and claiming benefits rather than going back to work. "The test [for IB] that is operated in this country is known to be the most stringent in the world, so it is unlikely that there are a large number of people swinging the lead," she said.
"Under Gordon Brown we have seen millions of people coming into the country to work. Yet it's still possible for many British people to stay at home on benefits and not go back to work. That simply doesn't make sense." Labour MP Frank Field, a former welfare reform minister, said he was pleased the Conservatives were addressing the issue.
The number of people claiming Incapacity Benefit is at the lowest level in seven years, but is still higher than when Labour came to power in 1997. "Many people are just in effect thrown on the slag heap and to help them back into work would massively increase their own happiness, but... the government - whether it intended it or not - is now growing the economy by the importation of labour and most new jobs now go to immigrants.
Many people are just in effect thrown on the slag heap and to help them back into work would massively increase their own happiness Labour MP Frank FieldFormer welfare reform minister
The government contends that all the Tories are trying to do is push existing reforms through further and faster, BBC's political correspondent Laura Kuenssberg says.
Ministers have agreed changes to the incapacity benefit system that will take effect later this year - for example, a tougher test to qualify for the payment in the first place, and a rebranding of the benefit to become Employment Support Allowance.
The number of people on incapacity benefit has also been falling in recent years but has not prevented it from rising up the political agenda.
Labour MP Frank Field, former welfare reform minister, said he was pleased the Conservatives were addressing the issue.
'Reserve army'
"Many people are just in effect thrown on the slag heap and to help them back into work would massively increase their own happiness, but...the government - whether it intended it or not - is now growing the economy by the importation of labour and most new jobs now go immigrants.
"If we are to reverse that trend it's crucial that this huge reserve army of people who could be working, should work," Mr Field said."If we are to reverse that trend it's crucial that this huge reserve army of people who could be working, should work," Mr Field said.
Mental health charity Mind reminded Mr Cameron that the benefit already has a strict standard which claimants must reach, and was not widely targeted by fraudsters.
It also called on the Tory leader to address the problems and discrimination that mental health sufferers are exposed to, which often keeps them out of work.
A spokeswoman said: "David Cameron needs to bear in mind that for the 40% of claimants who have mental health problems, the crucial issue is inadequate training of mental health assessors.