The Department for Work and Pensions (DWP) is providing more than 600,000 households with welfare payments that exceed the average post-tax salary of a British worker. According to new analysis, 625,618 households each received over £32,200 in benefits last year, which is equivalent to the typical annual take-home pay for a full-time employee.
High-value claims on the rise
Among these, 16,000 households were awarded more than £60,000 in welfare payments, nearly double the average annual net income. The figures, compiled by shadow minister Neil O'Brien, highlight a significant increase in large benefit claims among working-age households.
O'Brien stated: "The real-terms growth and scale of really large benefit claims from working-age households make the case for a return to welfare reform stronger. We need reforms across all types of benefit – and particularly the household benefit cap, which is no longer really constraining the growth of really large claims. Some households are getting a lot more in benefits than the average person gets to take home after working full-time. We need a system that’s fair to taxpayers as well as those benefiting from it."
Political reactions
Conservative shadow work and pensions secretary Helen Whately commented: "The household benefit cap means you can opt out of work and still get thousands of pounds of extra benefits. We will make the cap do what it’s supposed to do – make sure work always pays. Welfare should be a safety net, not a lifestyle choice."
The DWP responded that O'Brien's figures were an overestimation. A Labour Party government spokesman said: "The 2 per cent of households receiving this level of support have the highest needs, and require extra support. The benefit cap exempts households where one or more residents have a severe disability requiring extra support and are among the most vulnerable in our society, and it is right that they receive it."
