Ministers are preparing plans to bar jobseekers from the
European Union from receiving all out-of-work benefits once the universal
credit system is completely introduced. Although universal credit – a merger of
as many as six separate benefits – is unlikely to apply to existing claimants
until as late as 2018, it will apply to new claimants sooner. The government is
likely to argue that restricting access to universal credit is not in breach of
EU rules since it is not a benefit primarily designed to facilitate access to
the labour market. As a result, it is believed that access to its out-of-work
benefits could be restricted without interfering with the free movement of
labour, a central pillar of the European Union. Read more on the Guardian
website.
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