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British ministers will on Monday unveil plans to cut welfare benefits enjoyed by millions of people with long-term disabilities and health problems, as part of their efforts to slash the government’s soaring welfare bills.
Work and Pensions Secretary Mel Stride said it was time for a “grown-up conversation” to make the disability benefits system more sustainable following a surge in mental health-related claims and a fall in the overall bill would amount to £28 billion by 2029 – double pre-Covid levels.
The government will publish a consultation later on Monday on proposals to restrict eligibility for personal independence payments. PIP was introduced in 2013 and is designed to help disabled people meet additional living costs. Unlike Universal Credit, which is means tested, PIP is granted regardless of the person’s income or employment status.
About 2.6 million working-age adults are now claiming PIP or the Disability Living Allowance it replaces, according to official figures, with a recent rise in claims attributed to people with mental health conditions such as anxiety and depression.
Prime Minister Rishi Sunak last week suggested the system was being “abused” by people who “over-medicalise” everyday stresses, describing it as a “moral mission” to reduce welfare dependency and the cost of welfare to taxpayers to lower.
Charities warned that Sunak’s comments were “deeply damaging” and would lead to vulnerable people becoming poorer without making them better off in the workplace.
Sarah Hughes, chief executive of mental health charity Mind, said last week that mental health services were at breaking point and that people “need to be offered tailored support”. . . not be exposed to the risk of losing what little money they currently live on.”
Stride said Monday that a reformed system could provide more support to those most in need, but that some applicants “may achieve better outcomes through treatment, health care and support than through a cash payment.”
The current system is “very strict”, he added, with support set at a certain amount per month regardless of people’s health status – while some may only require small, one-off adjustments, such as installing a handrail in theirs Bathroom.
Stride said the Government may in future offer one-off grants or vouchers to help people who needed home adaptations or expensive equipment, as some may incur significant additional ongoing costs while for others they will be “minimal or specific”.
The government also wants to eliminate unnecessary PIP assessments for some people with serious or terminal illnesses so they can receive support more quickly.
The plans to cut PIP are part of a wider package of reforms – most of which will not be implemented until after the next election – aimed at helping people with long-term health problems keep their jobs or get back into the workforce.
Last week Sunak unveiled plans to shift responsibility for approving short-term sickness absences away from GPs, with the aim of encouraging people to take care of a health condition as much as possible.
The government is already introducing changes to means-tested disability benefits, cutting support for some people with mental illness or mobility problems.
At the same time, “talk therapy” for people with less serious mental health problems will be expanded and a new program to integrate health and job search support will be tested.