COST OF THE DOLE IN BRITAIN

Nelson Evening Mail, Volume LXIV, 5 January 1931, Page 8

COST OF THE DOLE IN BRITAIN

The enormous cost of unemployment insurance in Britain and the fact that nearly 70 per. cent, of it falls on the taxpayers were demonstrated recently by figures quoted.in “The Times.” According to a supplementary estimate, tlie contribution of the taxpayer to the Unemployment’ Insurance Eund during the current,, year, will be £36,970,000—an increase of £10,500,000 on tie original estimate. These figures reflect the facts that the number of the unemployed has increased by 1,011,000 in 12 months; that/ the number of persons employed has decreased,. by 732,800 during the same period; and : that the .Government has appointed 5000 more officials to administer relief; to-the “humah misery,, almost impossible to'conteihplate,” which Miss Lawrence (before talcing office) asserted .that a Labour Government could “cure Avithin three weeks.” The extra demand is caused onjy by the increase in the number of persons who have not paid enough contributions, to draw • benefit -from the insurance fund itself, and draw relief at benefit rates from the Exchequer (Via the fund.’ The taxpayer is therefore properly warned‘ that expenditure upon these persons'" “cannot bo forecast, with ■ any certainty,” and that “it is still increasing.” He has, already been required to. len-l another £20,000,000 to the fund, and that the Government had .promised-to ask him to lend £10,000,000 more before the end of tlie financial year.' None of these loans can begin to be repaid until the unemployed number fewer thain 1,240,000, and they are therefore practically irrecoverable. The total expenditure on the unemployed this year will amount to about £97,000,000. of which £67.000,000 will come from the taxpayer and £30,000.000 from employers and employed. ! - Next year the charge will he very much higher unless there is some totally unexpected decline -in the volume of unemployment, or some change in the, present so-called ■ unemployment. insurance system.