Belief in 'state safety net' strengthens

28/09/2009

Around one third of Britons believe that their living standards can be maintained on state welfare support alone, an insurer has found.

Scottish Provident said that 35 per cent feel that benefits offered an "adequate safety net", up from the 22 per cent who said the same when the last report was taken by the firm in 2003.

However, 45 to 54-year-olds were revealed to be the "biggest sceptics" about state support.

Responding to the data, Scottish Provident pointed out that job seekers' allowance has increased by just £5.76 per week since 2003 - while living costs themselves have risen at a sharper rate.

This means that people who are laid off from their jobs now have a tougher struggle to make ends meet than they would have faced previously.

Unemployment in the UK is on the rise, with official government data showing that the jobless total rose over the summer to almost 2.5 million - a 14-year high.

Susan Barclay, head of marketing at Scottish Provident, commented: "More people have come to believe that the state would provide an adequate safety net should the worst happen and we find ourselves out of work.

"However, the reality is that the average increase in job seekers' allowance of just under £6 doesn't come close to the cost of living in today's world and the government will continue to place greater emphasis on people providing for themselves."

Tags; Budgeting Advice, Retirement Money Problems, Credit Card Lifestyle, Recent Graduate Debt,

• Share
• 
• 
• Store
• 
• Follow
•