LIVERPOOL—Catherine Wieland got on Britain’s welfare rolls in 2021. With a history of emotional trauma, she was too anxious to go outside or carry out simple tasks like washing herself, she told the government. Soon, she was receiving about £700 (€828) a month in disability benefits. And, it turns out, going outside quite a bit. Using a taxpayer-subsidized program for those with disabilities, Wieland paid a small deposit for a free BMW, which she used to regularly visit the hair salon, dine out at restaurants, attend a Brighton pride parade and visit an amusement park. According to court reports in…

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