A word of caution about Esther McVey’s ‘u-turn’ on housing benefit for young people

Smoke and mirrors is the name of the ir game…

Politics and Insights

youth obligationThanks to Joe Halewood for the screenshot

A little background on the “Youth Obligation”.

Thenational livingwage(which is actually an inadequate rise in the minimum wage) was one of the centrepieces of the Osborne budget back in 2015 – which does not apply to those people under 25. Osborne exhorted young people to “earn or learn” in a budget speech that also cut their entitlement to receiving benefits and student grants, prompting serious complaints that young people had been unfairly targeted.  

The policy to end automatic entitlement for the housing element of Universal Credit was announced by David Cameron and Osborne in 2014 and was introduced last April. Housing and homeless organisations warned last year that it will cause grave hardship and force cash-strapped councils to meet higher costs for emergency accommodation. The plans of a review, and potential for a government u-turn on the housing element payment for young…

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