A national think tank says B.C.'s welfare system depends on food banks and other charities in order for people to survive.

On Tuesday, the Canadian Centre for Policy Alternatives released the results of a study it conducted with Simon Fraser University involving 62 Vancouver, Victoria and Kelowna residents who were followed for two years.

It found that most people struggle every day to make ends meet, often end up homeless and find it difficult, if not impossible, to find work.

The centre said welfare benefits are too low, too many people are being cut off assistance, becoming homeless and resorting to crime while many women remain in abusive relationships or take up prostitution.

The study also found that only a small fraction of people managed to leave welfare for a job and many still live below the poverty line.

Seth Klein, director of the centre's B.C. office, said that by following participants for two years, the study was able to compare the experiences of those who stayed on welfare, those who left voluntarily and those who were cut off assistance.

"The government likes to say declining welfare caseloads is purely a good new story but it has never done adequate studies that would allow it to make such claims," said Klein, who co-authored the report.

The study recommends boosting welfare rates, reviewing the rules for cutting people off assistance and providing more support for people in areas such as housing.

It also calls on the government to help people with addiction problems as they try to move from welfare to work.

Employment and Income Assistance Minister Claude Richmond said the province has changed its income assistance rates dramatically since the survey was done and that they're now at the highest level in B.C. history.

"We've invested $185 million through the 2009/2010 budget year," he said. "We now have many new outreach programs at more than $7 million a year."