3% of the workforce now claims housing benefit

[chem1st]

From December 2010 to December 2011 the amount of people in work claiming housing benefit rose by 115 000 from 3/4s of a million to 865 000.

 

That is a staggering 3% of the workforce.

 

3% of workers now have to claim from the state to help pay their rent. These people also claim other in work benefits such as child tax credits and working tax credit. The bill for tax credits is 10 times higher than the bill for people on out of work benefits. (Housing benefits is separate from this and is now approaching £25 billion per year! - That is a staggering £1000 per year in housing benefit per property in the UK - it is as if all the money collected in council tax is pumped back into property prices!)

 

The increasing amount of workers on benefit, in particular housing benefit, (Where the average award for a private sector tenant is ~£110/week - OVER 50% of the income of a person working full time for minimum wage) is a very worrying development.

 

How will these workers afford a mortgage when they can't even afford to rent from parasitic landlords. Hard working people are being denied the ability to own their own home. There is nay point in working when thee still needs to claim benefit to survive.

 

Welcome to the property owning oligarchy of the UK!

[Resident]

In short the Fair Rents Act needs re-introduction.

 

My parents house is still covered because it was when the act was repealed and will be unless they move out.

 

The house next door is although a mirrored version, identical to theirs, in approximately the same condition however the tenants are paying almost £40 MORE a week because they moved in after the act was repealed therefore no longer eligible for cover.

[Conrod]

Let's see now. Society changes, people no longer wish to live as large family groups in a family home with 2 or 3 generations under one roof, they all want their own house/flat and to use one bedroom out of 2 or 3. Add to that, the population has risen through immigration.

 

Remarkably, that means a greater need for housing, and greater need/market demand for any product or service when there is limited resource forces prices up.

 

What the hell - let's blame the landlords!

[LeMaquis]

3% of workers now have to claim from the state to help pay their rent. These people also claim other in work benefits such as child tax credits and working tax credit.

 

There is nay point in working when thee still needs to claim benefit to survive.

 

Child Tax Credit isn't a specifically work benefit. People not working can claim it.

 

Your last sentence is stupid. Some people may prefer to work part-time and claim benefits on top of a salary. If others can't get enough work to earn enough to live on and so have to claim benefits that's still better than nothing.

[Ms Macbeth]

Some people may prefer to work part-time and claim benefits on top of a salary. If others can't get enough work to earn enough to live on and so have to claim benefits that's still better than nothing.

 

And even working part time and/or in a low paid job is more likely to lead to a better job than doing nothing waiting for the 'right job' to turn up. A foot in the door as they say.

 

And as for these workers affording a mortgage, not everyone will. Around 70% of UK households are owner occupiers, that means that around 30% are not. Even at around 70% its more than most western European countries.

[chem1st]

And even working part time and/or in a low paid job is more likely to lead to a better job than doing nothing waiting for the 'right job' to turn up. A foot in the door as they say.

 

And as for these workers affording a mortgage, not everyone will. Around 70% of UK households are owner occupiers, that means that around 30% are not. Even at around 70% its more than most western European countries.

 

It ain't 2002 anymore it is 2012.

 

OO has fell from it's peak of 70% to 65%. Quite a few EU countries have higher OO than us.

[Isabelle]

What are the thresholds for benefits for working people?

I put my details into a benefits calculator, and it tells me I will get nothing.

There is no way I could get by living on my own on my current wage. After paying my rent there is less than £200 left for other bills etc. Fortunately this is only a temporary situation for me. My hours have been cut through no fault of my own.

[Mister M]

I haven't got a problem with small businesses or firms just starting up relying a bit on things like top ups for housing benefit & child tax credit as sometimes the owners of these bsuinesses sometimes don't make a great deal of money.

I do object to huge multinationals that take the p***, whose cheif executives earn a fortune but nevertheless think nothing of paying junior staff as little as they can get away with - that's not fair on the employee or the taxpayer who pays the top ups & tax credits.

 

It probably sounds utopian but could there be a system like a means test so that big companies can't get away this, but nevertheless supports those businesses that are struggling?

[Cyclone]

That would be the minimum wage wouldn't it?

 

The whole tax credits system makes no sense, why not simply stop taking the tax from these people in the first place... maybe by setting their tax code appropriately.