The thing is, I wasn't signing on then, and am not signing on now.
I rent my house, and at the time was earning very little, having just started up. I therefore was entitled to claim housing and council tax benefit, legitimately, based upon my earnings, which were scrupulously documented, and therefore provable.
There was and is nothing wrong with doing this, providing the rules are carefully followed, and any changes in circumstances, eg higher income, is always declared. Claims were reassessed every 6 months, and if it was found that too much in the way of HB or CT benefits had been paid, any overpayments had to be paid back.
There's no shame in doing this, as long as it is not done fraudulently. In my case it was all above board.
John.