Tuesday, 8 November 2011

North Wales will be hit hard by benefit reform

The number of people on sickness benefits in North Wales will be cut by 13,000 within three years, a report claims today. The study says Wales will be hit harder than any other part of Britain by the UK government’s controversial reforms of incapacity benefit (IB).


Research by academics at Sheffield Hallam University suggests the 181,370 people on IB in Wales will be reduced by 75,000 by 2014. They say 45,000 are set to be pushed out of the benefits system altogether and some 23,000 will be moved onto Jobseeker’s Allowance.


In Britain as a whole, 6.6% of the working age population claim IB, but the average for Wales is 9.5%. In North Wales, Denbighshire’s figure is 9.5%, while it is 9% in Conwy, with Anglesey at 8.3%, Wrexham 8.1%, Gwynedd 7% and Flintshire 6.8%. It is estimated 2,900 Wrexham people will be affected, with 2,600 in Flintshire, 2,300 in Conwy, 2,000 in both Gwynedd and Denbighshire and 1,500 in Anglesey.


The report, from the Centre for Regional Economic and Social Research Centre says across Britain as a whole by far the largest impact will be on the older industrial areas in Wales, Scotland and the north of England. In these areas the prospects of former claimants finding work are weakest.


Report co-author Professor Steve Fothergill said: “The large numbers that will be pushed off incapacity benefits over the next two to three years are entirely the result of changes in benefit rules – the introduction of a tougher medical test and, in particular, the more widespread application of means-testing from next April.


“The reduction does not mean that there is currently widespread fraud, or that the health problems and disabilities are anything less than real. In terms of the numbers affected and the scale and severity of the impact, the reforms to incapacity benefits that are under way are probably the most far-reaching changes to the benefits system for at least a generation. They will impoverish vast numbers of households and cause untold distress in countless more.”


IB is paid at different amounts depending on which group people are in, but many of those who will be affected receive around £97 a week, while current average JSA payments are £61.73.


Employment Minister Chris Grayling said: “It’s clear that millions of people have been written off for years left on incapacity benefit with no real support to get into work. That’s why we are re-testing people to see if they have the capacity to work.


“Our changes will make sure those in genuine need get more support and those who could and should be working are given the opportunity to do so.”

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