A Conservative think tank has said the welfare system is not providing enough support for people, and has called for the introduction of a “minimum income”.
Bright Blue, backed by some senior Tory MPs, says households need a minimum income to meet the cost of living.
Former Work and Pensions Secretary Stephen Crabb said the welfare system has “significant gaps and weaknesses”.
The Department for Work and Pensions (DWP) insists it still “offers a vital safety net to millions of people”.
The government is currently considering options to reform the welfare system to encourage more people back into employment.
One option is letting people continue to claim sickness and disability benefits even if they find work, with a source telling the BBC there has to be a “radical rewiring” of how the benefits system operates.
A Health and Disability White Paper detailing the new plans – which are yet to be finalised – is expected later this year.
Labour has outlined plans to reform the system should it win power, announcing that claimants who take a job but then have to stop working within a year would not have to undergo another capability assessment to claim benefits again.