The DWP just fired the starting gun for the privatisation of the welfare state

The DWP just fired the starting gun for the privatisation of the welfare state

The Department for Work and Pensions (DWP) has recently made two quiet, but significant, announcements; missed entirely by the mainstream media. If you read between the lines you’ll find a sinister move. One that could well be the shape of things to come: the beginning of the end of a public welfare state. The DWP: ending welfare, one benefit at a time Support for Mortgage Interest used to be a welfare entitlement that covered the interest payments on people’s mortgages when they were unable to work. It was originally put into place by former chancellor George Osborne in 2015. But its scrapping came into full effect on 6 April this year. Now, people can take out a Support for Mortgage Interest Loan from the government. But there are catches to this. Namely, that the loan is lent with an interest rate of around 2.61% and that the loan has to be paid back when the claimant sells the property or it transfers to someone else. On Tuesday 17 July, the DWP quietly revealed that less than 15% of people entitled to a loan have actually taken one out [xls, table_1. rows 16/26, column M] . Previously, the low take-up of the loan led SNP MP Angela Crawley to brand it an “ill-designed policy”. But has the DWP intentionally made the loan “ill-designed”? A sinister agenda Possibly. Because last week it revealed that people who have private protection insurance to cover mortgage interest payments will get special treatment from it. […]

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.