Firstly some context and a breakdown of your 5.2 million figure
5.3 million working-age people were in receipt of an out-of-work benefit as of February 2011. Of these, 2.6 million (49%) were sick or disabled, 1.4 million (27%) were unemployed and 0.6 million (12%) were lone parents.
Now to claim the vast majority of people living on council estates are benefit scroungers is offensive, that might be the case in Liverpool but not where I live, although I do concede they do exist. I lived on a council estate in Manchester for most of my teens and most people were buying their homes from the council, even now where I live three out of the four people renting apartments in this council owned block are employed.
As for the rest of your post no one is denying benefit scroungers exist, what I think people are angry about is stereotype when any and everyone is classed as a scrounger who is claiming benefits, and that like you try to assume the vast majority of benefit claimers are living a life of luxury, which just isn't true...if anything its a small minority.
Did you know over a £billion is actually under claimed by people who are entitled to claim more ?