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Real Cost of Benefits

Spending on benefits and pensions is often exaggerated by politicians by only referring to the gross cost, before people pay taxes. However about 90% of the money paid out in benefits comes straight back in the form of taxes. The real cost of benefits is the amount paid out after taxes. This is a much smaller figure, £27.8 billion or about 1.4% GDP.


The publisher is the Centre for Welfare Reform.

Graphic on Real Cost of Benefits © Simon Duffy 2017.

All Rights Reserved. No part of this paper may be reproduced in any form without permission from the publisher except for the quotation of brief passages in reviews.

Documents

Library

Let's Scrap the DWP

Let's Scrap the DWP

Simon Duffy and John Dalrymple make the case for Basic Income Security - a system to integrate and reform the current tax and benefit systems.

Who Really Benefits from Welfare?

Who Really Benefits from Welfare?

Simon Duffy looks at how the tax benefit system really works and wonders who are the real beneficiaries of this system?

Who Benefits?

Who Benefits?

Kofi Sampaney, Marvin Blair, Alexander James, Tyrone Paul and Mark Williams made this short documentary to describe the negative impact of welfare reform in the UK.

The Reality of Disability Benefits

The Reality of Disability Benefits

One man's experience of disability benefits.

Carers Benefits and Basic Income

Carers Benefits and Basic Income

Citizen K explores the strange paradoxes of the UK's benefit system and argues for a system of basic income.