Although I do see your point, I'm not sure I totally agree with it. A lot of these people who you feel don't deserve help have children. Is it fair to force the children into poverty because of the mistakes of the parents? If you force these children to grow up in poverty then surely you're just creating problem citizens for the future.
Being lazy isn't a mistake. Lazy people can work out of their poverty if they bothered, unlike people who are actually in poverty. An example of "lazy poverty" is the whinging from Duke, even though his problems can be easily solved by more efficent spending - or getting a job.
Also, who decides what poor people deserve help? If you just apply a blanket policy, then a lot of mistakes will be made and a lot of people will suffer who don't deserve to.
I do agree with your point here, there is no easy solution to pinpoint who deserves help and who doesn't. However, I do feel that extensive background checks and such will help. An example would be employers doing compulsory random checks to see if their workers are getting benefits they don't deserve.
I know this probably sounds like a moral crusade, but I know that am a hypocrite. I don't like paying tax, and I do what I can to avoid paying it.
I don't think anyone likes paying tax, I certainly don't (although I don't at the moment due to my spazz money). When it comes to tax though, it should be the same for everyone. You shouldn't be punished for being rich, neither should you be punished for being poor in this aspect. It only divides the line more.