Budget Cuts

Budget Cuts

Thousands of young British people could lose the right to claim some benefits for four years as part of government plans to tighten the rules for EU migrants, introducing a four-year residency test for migrants is a key part of the UK’s negotiations of its EU membership.

In order to receive the benefits, people would need to have been legally a resident in the UK for four years.

The test would apply from the age of 18, meaning that anyone aged under 22 years old who had lived here all their life would not be eligible for tax credits.

The European Commission has already taken the government to court over its habitual residence test. The test ensures that only EU nationals with a “right to reside” in the UK can get certain benefits, such as income support, housing benefit and universal credit.

A government spokeswoman said: “We’ve already taken action to protect the benefits system and ensure that EU migrants come to this country for the right reasons and to contribute to the economy. Now we’re focused on re-negotiating our relationship with Europe and getting a better deal for Britons, and we won’t speculate on other options.”

From other hand taxpayers do not necessarily want to see that their tax spending on people who do not have desire to work full time or just abuse the system, pretending being single parents, low pay employees, jobseekers ant etc.

The Government representatives always believed people should contribute to the welfare system before they take out.

Benefits purpose is to help people for certain amount of time but not to become a certain way of living: instead of looking for job and build career some people prefer to claim benefits and work part-time or get paid cash-in-hand without paying tax. Nowadays many people just simply abused the system and this eventually leads to Government actions. In long prospectus Government will try to replace benefits by creating new jobs and well paid jobs.

Families with more than two children will not receive tax credits or housing benefit for their third or subsequent children under a fundamental change to the welfare system. The move will be introduced in April 2017 and will save £1.35bn by the 2020-2021 financial year.

Also lone parents would have to look for work when their children reach three and four rather than five as at present.