Number 10 Downing Street

The official site of the British Prime Minister's Office

Queen's Speech - Welfare Reform Bill

Tuesday 25 May 2010

“The tax and benefits system will be made fairer and simpler.” The purpose of the Bill is to:  Simplify the benefits system in order to improve work incentives. The main benefits of the Bill would be: Making the benefits system less complex. Improving work incentives. Getting the five million plus people languishing on benefits into [...]

“The tax and benefits system will be made fairer and simpler.”

The purpose of the Bill is to:

  •  Simplify the benefits system in order to improve work incentives.

The main benefits of the Bill would be:

  • Making the benefits system less complex.
  • Improving work incentives.
  • Getting the five million plus people languishing on benefits into work and out of poverty.
  • Reducing the scope for fraud and error.

The main elements of the Bill are:

  • Removing the confusing complexity of the benefits system, which too often leaves people afraid to make any change to their circumstances and can be a barrier to moving from benefits to work.
  • Making people see a gain when entering work through simplifying the benefits system.
  • Reducing the scope for fraud and error by making the benefits system simpler.
  • Reducing unnecessary administration of benefits. Currently people can have overlapping entitlements or switch between different benefits – around 200,000 people a year cycle between Jobseeker’s Allowance (JSA) and Incapacity Benefit (IB/ Employment and Support Allowance (ESA).

Related documents:

Existing legislation in this area includes:

  • Welfare Reform Act 2009
  • Welfare Reform Act 2007
  • Social Security Contributions and Benefits Act 1992

Devolution:

Any benefit changes will apply to Great Britain. Provision or benefits in Northern Ireland is devolved and will require parallel legislation.