I don't think there are any details available re IDS's proposal to give council housing to people who come off benefits. How on earth would this work? Supposing someone comes off benefits, works for a while and then loses their job, becomes ill or stops working? Would the house be re-possessed? Even if it were feasible, I think it is a totally unfair proposal since it would further deplete social housing and hurt thousands of families who are experiencing housing problems.
As for people having to undertake community work if they claim benefits, if this is not to be seen as "punishment" for not having a job, then it would have to be a properly designed, resourced and managed scheme that would actually help people to gain, or build on, meaningful skills.
I didn't see the programme about Borstal so can't comment on it. What I do recall about the Borstals of old was that they, and their occupants, were viewed in a very negative way by the general public. They were seen as places where "bad" boys went to be punished. Like many of the institutions where children and young people were placed, there appeared to be a lack of properly trained staff and a risk of physical, psychological and sexual abuse. There have been sex abuse scandals in the equivalent of a Borstal in Scotland, in County Durham and in Northern Ireland - and they are probably the tip of the iceberg.
I'm sure that some young people would benefit from a rehabilitative programme that included psychological assessments, counselling, anger management, etc., together with the opportunity to gain practical and social skills and increase literacy and numeracy. From what I have read, the current young offender institutions are certainly no better than the old Borstals and may even be worse. There are reports of vicious bullying, criminal activity and staff who are poorly trained and unmotivated, which has led to a significant increase in self harm and suicide. I feel that as well as this being a national disgrace, it also ensures that young people will leave these institutions even more angry, aggressive and inclined to commit crime than when they went in.