Knight said that the poverty rate among disabled people was around a "staggering" 61 per cent and called on work and pensions minister David Blunkett to seize the "golden opportunity" to substantially increase the basic rate of Incapacity Benefit.

Knight told the meeting: "In essence Incapacity Benefit is a benefit to replace earnings when a person cannot work because of disability. As it stands it does no such thing. The average IB payment is around £84 a week.

“If you imagine that payment as the equivalent of a 9-5 job, this works out at about £2.40 an hour - well under the minimum wage. How many people feel they could live comfortably with a job that paid less than £5,000 year?"

Knight added that poverty was exacerbated by additional costs faced by disabled people including personal case costs or mobility aids.

He said Blunkett's proposed reforms should "start genuinely offering security" to those who rely on Incapacity Benefit, reminding Blunkett of the pledge he made to the conference on Monday.

Knight also called for early interventions to stop people falling out of the labour market, effective mechanisms to support people back into long-term work, and strategies to address "endemic" discrimination in the labour market.

Blunkett told the meeting that he hoped welfare reforms would ensure that people would get an income and support network to allow them to "live with dignity."

He admitted that it was "totally confusing" that people on the higher rate of Incapacity Benefit were not entitled to various "add-on" benefits and said the government would try to resolve the issue.

John Simpson MP called for a move away from the government's "obsession"with means-testing but predicted that Blunkett would be "in for a fight" with the Treasury over the proposed reforms to Incapacity Benefit.

Knight echoed his concerns, adding: "The media are already licking their lips at the prospect of Incapacity Benefit reform leading to backbench rebellion, high-pressure late night votes and maybe even government defeats, but it need not be so."

Community Care
Sep 28, 2005