A good idea, clearly:
The largest proportion of money paid out is for housing, he says. “While all that £500 a week might get you in central London is a one-bedroom apartment, in Rotherham, Yorkshire, it would get you a six-bedroom house,” Mr Byrne says.
He proposes a body that could decide what level of benefits cap is right for each area of the country.
We don\’t really need a body to do this. We\’ve already got the figures for regional value added right down to borough level. And I\’m pretty sure we\’ve got figures on median/mean incomes down to that sort of level. So, just set the cap at watever it is nationally, then adjust by those borough level figures.
But there\’s a much more important point than this to be made. We\’re seeing the first breach in the everything must be nationally the same: we\’re getting the benefits post code lottery if you like. And once that wall is breached then two other highly desirable things become possible.
Having the minimum wage regionally determined and even more important, abolishing the national wage bargaining in the public sector.
Once the principle of a national one size fits all is gone it is gone and there\’s no reason why those other two should not follow. Other than that the usual suspects won\’t like it that is.