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Tories say worklessness has cost more than £340 billion in benefits since 1997

Tories attack 'vicious cycle' of unemployment

Ben Bailey
27 Aug 2009


The Tories stepped up their attack on the "failure" of Labour's welfare state, revealing today that worklessness has cost more than £340 billion in benefits since 1997.

Shadow work and pensions secretary Theresa May said unemployment had become a generational problem and a "vicious cycle" had emerged.

The cost of housing benefit paid to those on out-of-work benefits had totalled over £100 billion in the past 12 years, the Conservatives said.

More than £90 billion was paid out in incapacity benefits and another £90 billion was spent on income support. Other costs included jobseeker's allowance and council tax benefit.

In a speech on welfare reform to think tank Policy Exchange today, Mrs May will point to the "social consequences of this failure".

She will say: "There are communities in Britain where more than half of working age adults are out of work and dependent on benefits.

"Almost one in five children in the UK grow up in households dependent on out of work benefits.

"Worklessness has become a generational problem - passed from father to son, mother to daughter.

"Report after report has laid out the problems children growing up in workless households face: they are more likely to fail at school, become involved in criminal behaviour, develop addictions to drink and drugs and ultimately end up workless themselves. A vicious cycle has emerged."

Official figures yesterday showed that the number of households in the UK with no one over the age of 16 working has increased by 240,000 in the past year to 3.3 million.

The Office for National Statistics said the number of working-age people in workless households jumped by 500,000 to 4.8 million in the year to June.

The workless household rate increased by 1.1% to 16.9%, the highest since 1999 and the biggest year-on-year increase since Labour came to power in 1997.

The Conservatives seized on the figures, saying Labour had deserted millions stuck in a "cycle of worklessness".

Mrs May will say: "The tragedy is that we're talking about real people here, people who feel they have no future, who can't imagine getting a job, who don't know anyone else with a job.

"Recession or no recession, it makes no difference to their lives. They have been trapped on benefits for as long as they can remember and they can't see any chance of getting out."

Reader views (10)

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Bob of Cheam got it right, what happened to Workfare that Blair used to go on about. Did his wife decide forcing the bone idle to get off their bums and do some work contravene their "uman rites"

- Nick, London, 28/08/2009 12:50
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Simple, take the long term unemployed and force them to work a 40 hour week in the community, cleaning graffiti, painting, gardening, etc. If they refuse then stop their benefits.

- Bob, Cheam, 28/08/2009 12:32
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We shouldn't be trying to encourage people to switch from benefits to work we should be forcing them. Unemployment benefit was designed as a way to bridge the gap to your next job not a lifetime benefit. Millions of Eastern Europeans have come and proved that there are jobs if you want them. There should be an overall limit for benefits to one household and a time limit on unemployment benefit.

- Mark, London, 28/08/2009 11:44
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Tom, London. Well said! It only requires an ounce of initiative and determination for someone to find a job. Some years ago, I had no money and no job but I did all sorts of odd jobs to scape a bit of money together and then worked my way abroad. Now, I have everything I ever dreamed of and it all came from sweat!

- Percy Vere, Chipping Campden, Glos., 28/08/2009 10:48
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There are other problems as well. First, if someone finds work, the benefits are cut dramatically, so a whole week of work may result in a net gain of a tenner. That's a huge disincentive to make the switch from benefits to work. There needs to be a better way for people to make that transition, my belief is you reward those who try and not those who don't.

I agree with Moham though, when I heard the figure of five million having not worked in a decade, my immediate thought was, well they won't vote for a change in the status quo. It's a serious worry.

- Ian, london, 28/08/2009 10:33
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Nolan, thats the whole point, it shouldn't be easy. Since leaving school (not university) 12 years ago, i have been unemployed once. I hated it, so i got a job. There really is ample work, it just depends how much effort you are willing to put into finding and doing it. I have bugger all sympathy for anyone who malingers around stating they can't find a job. Utter rubbish. It may well not be something you want to do, but hell, its a living.

- Tom, London, 28/08/2009 06:56
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"Never Eat Tuna Again" - it's not very difficult for any party to make that promise, as Jobseeker's Allowance is currently only 28% of the minimum wage. Anyone who thinks it's easy to live on £64 a week is either an idiot or has never tried it themselves.

- Nolan, Londonist, 27/08/2009 14:28
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Yes, just as Brown planned. He wants people to depend totally on State benefits and State jobs so they vote Labour. Not complicated, his sole aim is Labour in power, not interested in the UK except for tax he can spend buying votes. A huge change he inflicted was to alter UK savings habits so savings ratio went from plus 10% to minus 2%. He pushed State and private sector into massive debt, sold off UK State gold and reserves, and taxed private pensions out of existence, to make more depend on State largess, and have less private income. He supports dumbed down education and skills so people are not self sufficient, hooks people onto State benefits as children and teenagers encouraging people to demand 'rights' from the State. Browns aim is opposite to JF Kennedy's famous saying 'ask not what your country can do for you, but what can you do for your country'. Brown wants people to demand the State supports them.

All regions, save London and SE has over 50% depending on State income so likely to vote Labour. About 1 family in every 5 has no job holder. So they depend on brown. What a voter base. His aim is expanding State employment at all levels, councils, Quangos, education, health etc. His aim is more new voters, borders open especially for those likley to need State income, eg muslim men who control family votes and Brown recently started State benefits for all wives and families despite bigamy having a 7 year jail term in the UK.

- Moham, moh349@yahoo.com, 27/08/2009 11:18
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The easiest way to get people of benefits is to make sure that no one gets more than 60% of the min. wage. Stick that in your election manifesto and you will walk it.

- Never Eat Tuna Again, London, 27/08/2009 07:22
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Since when did Tories concern themselves about unemployment,were they not around in the 1980s.

- Colin, Bristol, 27/08/2009 07:04
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