Coalition leaders are being urged this week to let councils run the welfare and benefits service to reduce costs. Cllr Richard Kemp, leader of the LGA Liberal Democrat group, has written to Treasury chief secretary, Danny Alexander, asking him to localise welfare. In his letter Cllr Kemp said: ‘Benefits payments are one of the three biggest wastes of public sector money. ‘I know from many years experience that the vast majority of people in receipt of a range of benefits want to work.' He proposes handing the administration of all benefits to councils, localising decision-making about benefit levels and introducing new ‘welfare to work' pilots. His letter adds: ‘There are many jobs which need to be done in the community, and many people with the time and skills to do them. ‘Paying people to do nothing as we have done year after year is almost a criminal waste of money.' Cllr Kemp also met with deputy prime minister, Nick Clegg, this week, to discuss his proposal.