Minister Concerned About Some Of The Welfare Reform Proposals

Social Development Minister Nelson McCausland has said that while he has concerns about some of the welfare reform proposals, there is a need for reform of the system.

Minister McCausland, who has responsibility for the social security system in Northern Ireland, was speaking at an event organised by the four main churches. The Minister had previously met with the church leaders to listen to their concerns about welfare reform.

Minister McCausland said: "If we are to be successful in tackling poverty and growing a sustainable economy in Northern Ireland then the general direction of travel of these reforms is right.

"Most of us are supportive of the principles underpinning the reforms. We want to see a welfare system that provides financial support for those unable to work due to illness or disability and, for those that can work but are unable to find work at a point in time. We also want to see a system that enables and supports, in a practical way, a return to work but challenges those who refuse to work.

"Reforming the welfare system is necessary for many reasons. The current system is too complex and all too often traps people in benefit dependency. This highly complex system involves an increasing level of expenditure which is no longer affordable.

"Change is clearly necessary if we are to lift our people from often inter generational poverty, whilst at the same time growing the economy to bring long-term benefits.

"We need to encourage a spirit of personal responsibility while ensuring that welfare support is seen as fair and just by those who pay for it, the tax payer. We must break down the barriers that stop people getting into work and make the experience of claiming benefits more akin to being in work. This is crucial in changing attitudes and behaviour so that more people can start taking greater control of their lives.

"In delivering welfare reform we must get public expenditure under control and not expect the welfare reform budget to simply grow and grow.

"Welfare reform is driven by the Coalition government. We are bound by parity to most of the changes that will be implemented. Currently we spend £4.9 billion on social security and housing benefits, paid directly from the UK Exchequer, all of which goes into the Northern Ireland economy. So parity is not negotiable. There are however significant areas where we can explore delivering welfare reform in a different way to meet the needs of Northern Ireland and yet not breach the parity principle.

"The Executive has established the Social Protection Fund to provide some support where we discover changes implemented through welfare reform will have an adverse impact on those dependent on benefits."

The Minister said his first priority for the Executive was to tackle poverty through growing the economy.

He continued: "Northern Ireland has a high level of economic inactivity. Almost 1 in 5 of people of working age are economically inactive here; the highest figure in the UK. Most of those people will be in receipt of Disability or Incapacity benefits.

"Unemployment is a worrying factor however growth in the economy will begin to address unemployment, but not economic inactivity. During the last period of economic growth there was a substantial decrease in those unemployed but there was actually an increase in the economically inactive through disability. We must begin to understand why this is the case. And we must seek to address its cause."

(CD/GK)