Britain’s benefit scheme has been disgraced as recently it has been discovered that over 100,000 households claim more than the average salary in benefits each year, taking £30,899 gross, while Britain’s average wage stands at £23,422. Around half of these households can look forward to taking £500 a week adding up to £26000 per annum.
The Employment Minister stated that the current system “punishes those who do the right thing by going out to work”. Dependency on welfare has created a mass of 700,000 families claiming at least £15,000 a year just on benefits, with nearly 2 million children with parents who do not work.
Around 12 million households with working age members collect benefits every week such as Tax Credits and Child Benefits costing a staggering £85 billion per year to the taxpayer. Many people would still be better off by living on benefits rather than getting a part time job due to marginal tax rates. The find declares that many people that are trapped in dependency on benefits are not shown a motive for going to work as they would have a worse lifestyle with lower pay.
Housing Benefits have also increased by 40% up to £14 billion in the past ten years. With the new coalition Government in place Mr Cameron has declared that there will now be a £400 a week cap for a 4 bedroom house. Although many families will be forced out of their current homes in exclusive areas, the Government argues that people on benefits should not be living better lifestyles than the working population who support the lives of others sacrificing their ability to afford such homes.
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