Benefit claimants not seeking work to face mandatory work placements
Those on benefits who do not find work in more than 18 months will have to undertake work experience placements, under rules planned for late next year.
The government says if they refuse they will lose access to their benefits for a period.
But the charity Mind says the use of sanctions would worsen mental health.
The announcement is part of plans to get people back to work, it will also see an extra £2.5bn spent on career support.
Under the plan, those solely eligible for the standard Universal Credit allowance, who refuse to engage with job centre staff or accept work offered to them after six months will have their claims closed.
It means they will have to go through the application again to receive benefits and will lose access to things such as free prescriptions.