Why benefit sanctions could end up costing the taxpayer more

Sanctions push people into insecure, badly-paid jobs that leave them back on welfare soon afterwards.

The welfare system is now tougher than ever. Figures out today show there were half a million sanctions against Jobseeker’s Allowance (JSA) claimants between 22 October 2012 and June 2013.

Sanctions and conditions in the benefits system that are clearly communicated and fairly applied make an important contribution to a well-functioning welfare-to-work system. But they must go hand in hand with measures to support people into good, sustainable jobs. Together these actions can promote behaviour that is in the interests of claimants and taxpayers.

But JRF’s systematic review of the international evidence on the impact of sanctions shows that in practice they often create perverse effects. These can cause severe hardship and create higher costs in the long-term. Evidence from the US shows that sanctions can be an effective tool for getting people off benefits, but this is partly because people drop out of the system altogether. This may reduce the welfare bill in the short-term but can cause destitution and cost the public dear in other ways.

Evidence from Europe shows the use of sanctions can increase people moving into work, but it tends to be lower-paid, insecure work, which sees people quickly back on benefits again. This is because the threat or use of sanctions makes people take poorer jobs than if they had been allowed to wait for better opportunities. JRF is conducting a review of the impact of welfare sanctions, which will cast more light on this in the future.

New targets for jobcentres encourage them to focus on keeping people in work and helping them progress to better-paid jobs and move off in-work benefits; this is exactly what all the evidence says they should be doing. But it seems sanctions are not being used to support this. Rather, they undermine it by pushing more people into insecure, badly-paid, dead-end jobs. 

The welfare system as a whole needs to be refocused to concentrate on getting people into work that they can sustain and that will allow them to increase their hours and pay to a point where they no longer need the state to top up their earnings. At the moment, bits of it have been reformed to achieve this, while other bits still have the old approach of 'get a job, any job!' Let’s get the whole system pulling in the same direction.

Helen Barnard is Poverty Research Manager at the Joseph Rowntree Foundation

People enter the Jobcentre Plus office on January 18, 2012 in Bath. Photograph: Getty Images.

Helen Barnard is a Policy and Research Manager for the Joseph Rowntree Foundation.

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25 times people used Brexit to attack Muslims since the EU referendum

Some voters appear more interested in expelling Muslims than EU red tape.

In theory, voting for Brexit because you were worried about immigration has nothing to do with Islamophobia. It’s about migrant workers from Eastern Europe undercutting wages. Or worries about border controls. Or the housing crisis. 

The reports collected by an anti-Muslim attack monitor tell a different story. 

Every week, the researchers at Tell Mama receive roughly 40-50 reports of Islamophobic incidences.

But after the EU referendum, they recorded 30 such incidents in three days alone. And many were directly related to Brexit. 

Founder Fiyaz Mughal said there had been a cluster of hate crimes since the vote:

“The Brexit vote seems to have given courage to some with deeply prejudicial and bigoted views that they can air them and target them at predominantly Muslim women and visibly different settled communities.”

Politicians have appeared concerned. On Monday, as MPs grappled with the aftermath of the referendum, the Prime Minister David Cameron stated “loud and clear” that: “Just because we are leaving the European Union, it will not make us a less tolerant, less diverse nation.”

But condemning single racist incidents is easier than taking a political position that appeases the majority and protects the minority at the same time. 

As the incidents recorded make clear, the aggressors made direct links between their vote and the racial abuse they were now publicly shouting.

The way they told it, they had voted for Muslims to “leave”. 
 
Chair of Tell Mama and former Labour Justice and Communities Minister, Shahid Malik, said:

“With the backdrop of the Brexit vote and the spike in racist incidents that seems to be emerging, the government should be under no illusions, things could quickly become
extremely unpleasant for Britain’s minorities.

“So today more than ever, we need our government, our political parties and of course our media to act with the utmost responsibility and help steer us towards a post-Brexit Britain where xenophobia and hatred are utterly rejected.”

Here are the 25 events that were recorded between 24 and 27 June that directly related to Brexit. Please be aware that some of the language is offensive:

  1. A Welsh Muslim councillor was told to pack her bags and leave.
  2. A man in a petrol station shouted: "You're an Arabic c**t, you're a terrorist" at an Arab driver and stated he “voted them out”. 
  3. A Barnsley man was told to leave and that the aggressor’s parents had voted for people like him to be kicked out.
  4. A woman witnessed a man making victory signs at families at a school where a majority of students are Muslim.
  5. A man shouted, “you f**king Muslim, f**king EU out,” to a woman in Kingston, London. 
  6. An Indian man was called “p**i c**t in a suit” and told to “leave”.
  7. Men circled a Muslim woman in Birmingham and shouted: “Get out - we voted Leave.”
  8. A British Asian mother and her two children were told: "Today is the day we get rid of the likes of you!" by a man who then spat at her. 
  9. A man tweeted that his 13-year-old brother received chants of “bye, bye, you’re going home”.
  10. A van driver chanted “out, out, out”, at a Muslim woman in Broxley, Luton
  11. Muslims in Nottingham were abused in the street with chants of: “Leave Europe. Kick out the Muslims.”
  12. A Muslim woman at King’s Cross, London, had “BREXIT” yelled in her face.
  13. A man in London called a South Asian woman “foreigner” and commented about UKIP.
  14. A man shouted “p**i” and “leave now” at individuals in a London street.
  15. A taxi driver in the West Midlands told a woman his reason for voting Leave was to “get rid of people like you”.
  16. An Indian cyclist was verbally abused and told to “leave now”. 
  17. A man on a bike swore at a Muslim family and muttered something about voting.
  18. In Newport, a Muslim family who had not experienced any trouble before had their front door kicked in.
  19. A South Asian woman in Manchester was told to “speak clearly” and then told “Brexit”. 
  20. A Sikh doctor was told by a patient: “Shouldn’t you be on a plane back to Pakistan? We voted you out.”
  21. An abusive tweet read: “Thousands of raped little White girls by Muslims mean nothing to Z….#Brexit”.
  22. A group of men abused a South Asian man by calling him a “p**i c**t” and telling him to go home after Brexit.
  23. A man shouted at a taxi driver in Derby: "Brexit, you p**i.”
  24. Two men shouted at a Muslim woman walking towards a mosque “muzzies out” and “we voted for you being out.”
  25. A journalist was called a “p**i” in racial abuse apparently linked to Brexit.