The welfare system is already stacked against the young

The decision to remove housing benefit from the under-25s is just another item on the list of ways our welfare system is penalising the young.

David Cameron wants to take housing benefit away from under-25s, arguing the move would save £2bn a year. Housing benefit is mainly claimed by those in work, with 93 per cent of new claimants and 80 per cent of total recipients in a job, so the plan would largely be a redistribution from young low-wage workers to elsewhere.

Thirteen major charities have attacked the proposal, arguing it would take a vital safety net away from young people. What is rarely mentioned is that the welfare state is already stacked against young people in other areas, with the housing benefit plan simply another item on a list.

Working tax credit

Low wage workers over the age of 25 can get their wages topped up by working tax credit by as much as £1,450 a year. This wage subsidy makes working more attractive, and allows businesses to pay a lower rate; these combined means it probably has a positive effect on employment. But despite much political disquiet about record-high youth unemployment, which is bucking the slight downward general unemployment trend, young workers are exempt from this subsidy, leaving many jobs paying very little.

National Minimum Wage

Though now largely forgotten, when the National Minimum Wage was introduced some argued it might have an impact on jobs. While successive governments have been happy to exclude young workers from Working Tax Credit despite the possible resulting unemployment, the opposite is true with the NMW. So, a 20 year old worker only has a wage floor of £4.98, compared to £6.19 for a 21 year old, while those who leave school at 16 and go into work can expect to be paid as little as £3.68 – nearly 60 per cent less than the adult rate. 

Work Programme

When questioned on their strategy to tackle youth unemployment, the Government points to its Work Programme, which Jobcentres usher young people onto three months before their older peers. What is not usually brought up is that the Work Programme is structured in a way that values youth jobs less than jobs for older people, with fewer incentives for providers to find under-25s work. The total payment made to providers who find work for someone over-25 is £4,400, while each young person found a job only nets them £3,800, a full £600 less per case: providers have a built-in financial incentive to focus on helping older claimants, which could help explain why young people are disproportionately unemployed.

Jobseekers’ Allowance

If someone under 25 finds themselves out of work, as nearly a million across the country do today, they don’t get the £71-a-week JSA payment afforded to those over 25 – instead they get £56.25, a full 20 per cent less. Since the amount of money paid from JSA doesn’t cover anything more than subsistence levels, and prices in shops are the same for everyone regardless of age, this almost certainly affects the standard of living of the young unemployed who have to fend for themselves.

Defenders of the set-up might argue that young people are less likely to have a family or other commitments and so have lower costs. But the welfare system already takes these things into account through situational payments like child benefit. Moreover, it would be difficult to imagine such restrictions imposed solely on the basis of age at the top end. It’s not clear that further sanctions on the young is consistent with the Government’s claim to want to share the pain of austerity equally, when they already get significantly less out of the system.

Under-25s on Jobseekers' Allowance receive a full 20 per cent less. Photograph: Getty Images

Jon Stone is a political journalist. He tweets as @joncstone.

Getty
Show Hide image

The joy of only winning once: why England should be proud of 1966

We feel the glory of that triumphant moment, 50 years ago, all the more because of all the other occasions when we have failed to win.

There’s a phrase in football that I really hate. It used to be “Thirty years of hurt”. Each time the England team crashes out of a major tournament it gets regurgitated with extra years added. Rather predictably, when England lost to Iceland in Euro 2016, it became “Fifty years of hurt”. We’ve never won the European Championship and in 17 attempts to win the World Cup we have only won once. I’m going to tell you why that’s a record to cherish.

I was seven in 1966. Our telly was broken so I had to watch the World Cup final with a neighbour. I sat squeezed on my friend Colin’s settee as his dad cheered on England with phrases like “Sock it to them Bobby”, as old fashioned now as a football rattle. When England took the lead for the second time I remember thinking, what will it feel like, when we English are actually Champions of the World. Not long after I knew. It felt good.

Wembley Stadium, 30 July 1966, was our only ever World Cup win. But let’s imagine what it would be like if, as with our rivals, we’d won it many times? Brazil have been World Champions on five occasions, Germany four, and Italy four. Most England fans would be “over the moon” if they could boast a similarly glorious record. They’re wrong. I believe it’s wonderful that we’ve only triumphed once. We all share that one single powerful memory. Sometimes in life less is definitely more.

Something extraordinary has happened. Few of us are even old enough to remember, but somehow, we all know everything that happened that day. Even if you care little about the beautiful game, I’m going to bet that you can recall as many as five iconic moments from 50 years ago. You will have clearly in your mind the BBC commentator Kenneth Wolstenholme’s famous lines, as Geoff Hurst tore down the pitch to score his hat-trick: “Some people are on the pitch. They think it’s all over. It is now”. And it was. 4 - 2 to England against West Germany. Thirty minutes earlier the Germans had equalised in the dying moments of the second half to take the game to extra time.

More drama we all share: Geoff Hurst’s second goal. Or the goal that wasn’t, as technology has since, I think, conclusively proved. The shot that crashed off the cross bar and did or didn’t cross the line. Of course, even if you weren’t alive at the time, you will know that the linesman, one Tofiq Bakhramov, from Azerbaijan (often incorrectly referred to as “Russian”) could speak not a word of English, signalled it as a goal.

Then there’s the England Captain, the oh-so-young and handsome Bobby Moore. The very embodiment of the era. You can picture him now wiping his muddy hands on his white shorts before he shakes hands with a youthful Queen Elizabeth. Later you see him lifted aloft by his team mates holding the small golden Jules Rimet trophy.

How incredible, how simply marvellous that as a nation we share such golden memories. How sad for the Brazilians and Germans. Their more numerous triumphs are dissipated through the generations. In those countries each generation will remember each victory but not with the intensity with which we English still celebrate 1966. It’s as if sex was best the first time. The first cut is the deepest.

On Colin’s dad’s TV the pictures were black and white and so were the flags. Recently I looked at the full colour Pathe newsreel of the game. It’s the red, white and blue of the Union Jack that dominates. The red cross of Saint George didn’t really come into prominence until the Nineties. The left don’t like flags much, unless they’re “deepest red”. Certainly not the Union Flag. It smacks of imperialism perhaps. In 1966 we didn’t seem to know if we were English or British. Maybe there was, and still is, something admirable and casual about not knowing who we are or what is our proper flag. 

Twelve years later I’m in Cuba at the “World Festival of Youth” – the only occasion I’ve represented my country. It was my chance to march into a stadium under my nation’s flag. Sadly, it never happened as my fellow delegates argued for hours over what, if any, flag we British should walk behind. The delegation leaders – you will have heard of them now, but they were young and unknown then – Peter Mandelson, Trevor Phillips and Charles Clarke, had to find a way out of this impasse. In the end, each delegation walked into the stadium behind their flag, except the British. Poor Mandelson stood alone for hours holding Union Jack, sweltering in the tropical sun. No other country seemed to have a problem with their flag. I guess theirs speak of revolution; ours of colonialism.

On Saturday 30 July BBC Radio 2 will commemorate the 50th anniversary of the 1966 World Cup Final, live from Wembley Arena. Such a celebration is only possible because on 16 occasions we failed to win that trophy. Let’s banish this idea of “Fifty years of hurt” once and for all and embrace the joy of only winning once.

Phil Jones edits the Jeremy Vine Show on BBC Radio 2. On Saturday 30 July the station celebrates the 50th anniversary of the 1966 World Cup Final live from Wembley Arena, telling the story of football’s most famous match, minute by minuteTickets are available from: www.wc66.org