Getty ImagesA former cabinet minister and Welsh MP who carried out reform of disability benefits under the last Labour government has spoken of the need to create an “opportunity” rather than a “punitive” welfare state.
Lord Hain was speaking as the UK government prepares to outline a shake-up in the benefits system this week.
But there has been speculation that ministers may now row back on plans to freeze a major part of its benefits bill amid strong opposition.
On Sunday, UK Health Secretary Wes Streeting said he had not seen the plans but Work and Pensions Secretary Liz Kendall said she wanted “to support people who need help the most”.
Lord Hain, who was secretary of state for work and pensions under Gordon Brown, said: “We do not want a punitive welfare state, we do not want to punish people who need support, and life in that situation can be pretty tough.
“We want an opportunity welfare state that helps people to get the opportunities that are out there for them, especially young people.”
Speaking on BBC Politics Wales, he said people were “much healthier generally speaking in work and that is the objective, not to punish people”.
“It reminds me of when we came into power in 1997 as a Labour government,” he said.
“It was a complete mess with millions of people on incapacity benefit and other forms of benefit who were never going to stand a chance to work.
“But we brought in the New Deal which virtually eliminated long-term youth unemployment.”
He added: “I think we can do it again because we have inherited a similar mess.
“The welfare state is not helping people and it’s not helping people to build a new future.”
The former Neath MP also said one of the reasons the UK economy had not recovered in the same way others had since the Covid pandemic was because of the number of people on benefits, but he warned it was expensive to get people “job ready”.
Luke Young, head of policy at Citizens Advice, has warned about 150,000 people in Wales risked losing up to £400 a month if the eligibility for some benefits were restricted.
But he has welcomed reports suggesting a freeze on Personal Independence Payments (PIP) would not go ahead.
“This is support that is essential for people to get by.
“These payments in particular are for the most disabled people to allow them to live their lives every day.”
Mr Young said he favoured changes such as bringing in more face-to-face regular assessments for those on benefits, as well as changing the relationship between job centre work coaches and claimants.
“No-one sensible looks at the situation and says it’s working in the way it should be,” he said.
“But we have to make sure the jobs are there.
“When the government talks about getting people back into work, for those who have a disability or a long-term health condition, the reasonable work has to be there.”
On the BBC’s Sunday with Laura Kuenssberg, Shadow Education Secretary Laura Trott accused the UK government of being “all over the place and divided” over welfare reform.
The Department for Work and Pensions said: “We have been clear that the current welfare system is broken and needs reform, so that it helps long-term sick and disabled people who can work to find employment, ensuring people receive the support they need, while being fair to the taxpayer.
“Without reform more people will be locked out of jobs, despite many wanting to work. That is not just bad for the economy, it’s bad for people too.”
