ESA sickness benefit is 'failing', government documents say
Posted: Thu Jun 19, 2014 9:31 pm
The key sickness benefit is helping fewer people get jobs, while its rising cost is a big financial risk for the UK, internal government memos say.
The memos, obtained by the BBC, say the Department for Work and Pensions is struggling to deliver employment support allowance (ESA).
ESA was introduced in 2008 to replace incapacity benefit.
The government acknowledged there had been problems but said it was bringing in a new firm to do tests for ESA.
The documents - which include six memos written by civil servants and advisers - also say claimants face an average nine-month wait after assessments. The target is three months.
ESA is intended for people who are unable to work due to sickness or disability. Claimants undergo tests, called work capability assessments, before learning whether they are eligible.
The memos say that ESA "is not delivering more positive outcomes for claimants" than incapacity benefit did.
The payment's costs are expected to rise by almost £13bn by 2018/19, the documents say, warning the increase is "one of the largest fiscal risks currently facing the government".
The benefit is becoming a "long-term destination" for too many people, they say, and more people than expected are becoming eligible for it.
This is thought to be partly due to restrictions on jobseeker's allowance leading to an increase in ESA claimants.
A key aim of the benefit is to get people off welfare and into work, but the documents say this appears to be happening less than under incapacity benefit (IB).
"Employment outcomes actually appear lower than under IB", they say, and the "wider policy problems facing ESA will persist" despite the change in the company in charge of the assessments.
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