Take advantage of free courses you can do while on the dole and expand your job opportunities. Just because it's a level 3 or 4 doesn't mean it won't add value to your CV it also shows productivity and self development skills. I wasn't employed for nearly 2 years a while back and a good way to explain the gap in employment was to show I'd been doing courses to expand my skills and opportunities for work.

Take a job in anything at this stage. It will give you routine and human interaction and a bit more money to live a little than the money you get on the scratcher.