- Social Security: 'Monetary assitance from the state for people with inadequate or no income'.
- National Insurance introduced in 1911 was further enhance to incorporate all workers.
- Used to fund statuary sick pay.
- Used to fund statuary maternity pay.
- Used to fund employement benefit.
- Pensions men 65, women 60.
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- Payable to all parents who have children.
- Paid for each child with a greater amount for the first than the preceeding ones.
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Conservative Reforms to Social Security
- Job seekser allowance was introduced whcih meant that an individual had to be acitivley seeking work in order to claim benefits.
- Real value of benefits declined, due to freezing of benefit levels.
- Encouragement and incentives were provided for using private school education and private healthcare.
- All measures designed to reduce dependency culture.
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Social Security Under Thatcher
- Neo-liberals heavily criticised the changes made.
- Beliefe that high levels of welfare and and an extreme benefits system are a disincentive for people to find work.
- Welfare state is funded from taxation, but high levels of taxation can be a disincentive to work.
- Too many benefits are paid to people who dont need them.
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New Labour Aims
- To reduce poverty - in particular child poverty.
- to target benefits for the most needy - selective universality.
- To combat poverty trap.
- To use benefits system as an incentive for people to find work.
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Reforms Under New Labour
- 1998 new deal for jobseekers
- Aimed at young people out of work for 5+ months
- Provided help for getting back into work along with unemployment benefits.
- 1998 new deal for lone parents
- Advice and support offered to lone parents trying to re-enter the workplace.
- 2000 new deal for over 50s
- Over 50s who had been out of work for 6+ months were offered help and support to get back into work.
- Benefits reduced if refusal to cooperate.
- 2003 new deal for the disabled
- Disabled people were offered the opportunity to get back into the workplace.
- HOW SUCCESSFUL
- By 2008 a total of 1.8 million people had found work.
- This figure was given out by the Labour party and has been disputed by other parties.
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- Aim: to provide an incentive to raise people out of the poverty trap.
- Working family tax credits - for those in work but also earning a low income.
- Child tax credits - for those responsible for children who are on a low income.
- Pension credit - for thoe who have no other source of income apart from their state pension.
- Tax credits attempted to alleviate the period of time in which no money would be earnt betweenr eturing to work and benefits being stopped.
- Provided an incentive to work as supportive benefits would still be provided whilst working.
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- Introduced in 1999
- Different levels depending on age or apprentice
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