The Government is considering introducing new taxes on unhealthy food as part of a wider push to get more people back into work. A blueprint unveiled today outlines a series of measures aimed at tackling the growing tide of sickness-related inactivity, which is set to cost the taxpayer billions.
The “Get Britain Working” white paper, published by Work and Pensions Secretary Liz Kendall, signals a shift towards more interventionist policies to improve public health and reduce the benefits bill. This includes potential “sin taxes” on junk food to drive down obesity levels, which are seen as a major contributor to conditions keeping people out of the workforce.
Alongside the tax proposals, the Government plans to overhaul Jobcentres, create a new national careers service, and establish a review into promoting healthier workplaces. There will also be a “youth guarantee” that will see 18-21 year olds lose benefits if they refuse work or training opportunities.
However, the plans stop short of immediate reforms to sickness benefits, with ministers opting instead to launch a consultation next spring. This has drawn criticism from the opposition, who have accused the Government of “kicking the can down the road” on the tough decisions needed to curb the rising welfare bill.
The Government insists the measures announced today represent the “biggest reforms to employment support in a generation”, with Kendall vowing to transform the Department for Work and Pensions into a “department for work”. But with the benefits bill forecast to reach £100 billion by 2030, Labour will face pressure to go further to tackle the problem.