
A budget to ensure the most vulnerable are protected?
Although Chancellor George Osborne claimed that Budget 2010 will ensure the most vulnerable people are protected, Disability Action has concerns about how the budget will impact upon people with disabilities and their families.
Disability Living Allowance
The following is the direct statement on Disability Living Allowance from the Department for Work and Pensions -
Disability Living Allowance (DLA) was originally designed to give those with severe disabilities extra help so they could live with dignity and independence in their own homes. While we are absolutely committed to supporting vulnerable disabled people, over the last decade the system has become open to abuse and the numbers claiming has steadily increased. In just eight years the numbers claiming DLA have risen by more than half a million.
DLA awards can be decided on the basis of self-reporting of need and, although medical assessments are sought for certain awards, these are not mandatory. We believe support must be offered on the basis of genuine need.
That's why we're taking the decision to reassess everyone of working age on DLA, and ensure everyone in the future goes through a proper gateway to claim the benefit.
There are a number of key areas of concern to Disability Action within this statement.
The obvious consequence of moving to a medical assessment for DLA claimants is that many people will have the benefit removed. If the main aim of the Government is to remove fraudulent claims then this is not the right way to do it. This change of process will mean that many disabled people will not receive a benefit that helps them maintain a basic standard of living, in the community.
Tax Credits
The proposed cut in tax credit payments to families earning more than £40,000 will impact significantly more on families with children who have disabilities. A family earning £40,000 with two children will lose £10.48 a week. However, a family with two children, one with a disability, will lose £39.98 a week and over £2000 in a year. The impact of this could be a parent currently in work may not be able to sustain this and be forced to leave the workplace.
Housing Benefit
Disability Action also has concerns about the budget statement on housing benefit and in particular the time limiting of the receipt of full housing benefit in relation to job seeking. For a disabled person of working age, many of whom still face discrimination in trying to access the workplace, and who are four times more likely to be unemployed this reform could further impact on poverty levels.
Disability Action does welcome the statement that From April 2011, Housing Benefit claimants with a disability and a non-resident carer will be entitled to funding for an extra bedroom.
Lone Parents
Moving those parents with their youngest child over five onto Jobseekers Allowance rather than Income Support from 2011-12 is of concern. The impact on families were a child or children have a disability could be significant due to the extra caring requirements, the lack of understanding of employers in relation to caring for a child with a disability and the lack of affordable accessible childcare for children with disabilities.
VAT
The increase in VAT to 20% will have a significant impact on those on the lowest incomes. This increase in the cost of living will significantly impact on the lives of those disabled people living in poverty.
Conclusion
Government’s policy is that all UK disabled citizens will be living independent and contributing lives by 2025. This budget introduces significant barriers to the achievement of this aim.
Disability Action will be preparing a full briefing paper which will be available on Friday 9 July, if you would like to receive a copy please email: karenmcgrath@disabilityaction.org
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