Ministers admit Britain's benefits culture must be curbed as map shows jobless claims hotspots

Ministers have acknowledged that Britain's benefits culture must be curbed as a map showing unemployment-claims hotspots was published. Work and Pensions Secretary Pat McFadden signaled the possibility of tightening universal credit eligibility and did not rule out ending health-related universal credit payments for claimants under 22.

Speaking to the BBC, Mr McFadden said: 'Look, I'm not ruling anything out. Welfare reform is really important. At the moment, this system is unhealthy for people and in the long run is pushing up the benefits bill because we're not getting the help to people who could work.' He also indicated that further changes could still happen before the Timms report, which is not due for another year. He added: 'Welfare reform is happening all the time. Anyone who looks at the current system shouldn't conclude that the thing to do is to circle the wagons around it.' Analysis by the House of Commons Library based on official figures has highlighted the worst areas for unemployment-related benefits, such as Jobseeker’s Allowance and Universal Credit with a requirement to seek work.

In the Birmingham Perry Bar constituency, 15.8 per cent of the population aged 16-64 were claiming as of August. They might be receiving top-up support rather than not having jobs. Worryingly, the number of claimants aged 18-24 was up 9 per cent, or 26,550, over the year. However, the overall UK claimant rate was down slightly from 4.1 per cent to 4.0 per cent since the previous August.

Mr McFadden was appointed to lead a new 'super ministry' earlier this month, incorporating the skills remit previously overseen by the Department for Education and focused on economic growth. The appointment of a figure seen as the Prime Minister's fixer has sparked speculation that Labour leader Keir Starmer could be planning another attempt to reform welfare after he was forced to abandon cuts planned earlier this year in the face of a backbench rebellion. In a call with Department of Work and Pensions staff after his appointment, McFadden focused on the need to ensure young people had the skills they needed to avoid a life on benefits. Describing this as 'an early area of priority for me', he said the department needed to 'ask ourselves some tough questions' about the rising number of young people not in education, employment or training. He added: 'I know that a lot of you are engaged in helping people onto skills courses and helping people onto training courses, but I'm hoping that with the change in the department's responsibilities, we can really emphasise that more and give ourselves the ability to bring these things together in a new and good way.'

Rachel Reeves is desperately scrambling to find ways of balancing the books at the Budget in November. Last week, long-term government borrowing costs reached highs not seen since 1998 amid concern about ministers' ability to keep the public finances under control and a global bond sell-off. But yields on 30-year government bonds, known as gilts, have since fallen back to last month's levels. The analysis underscores persistent regional disparities in unemployment-related benefits, even as the UK-wide claimant rate edges lower, and places the government at a crossroads ahead of the Timms review and the autumn fiscal timetable.