Chancellor Rachel Reeves: “We believe if you can work, you should work. But if you can’t work, you should be properly supported”
Significant welfare reforms were announced to build the economy and get Britain working in the Spring Statement
£1 billion will be invested to provide personalised employment, health and skills support from 2026-2027 to help people start or stay in work
This will build on existing support from WorkWell, Connect to Work and the Get Britain Working trailblazers
Universal Credit Standard Allowance will be increased for new and existing claims above inflation from 2026-2027 This means the standard allowance weekly rate for a single person aged 25 and over, will increase from £92 in 2025-2026 to £106 in 2029-2030.
To ensure PIP is focused on those with higher needs, a new eligibility requirement will be introduced Please be assured there will be no immediate changes to your health and disability related benefit payment.
Disability Rights UK have launched a new page on the DR UK website containing information and resources regarding the recent green paper plan on benefit cuts and how people can get involved in responding.
The fallout from the recent announcements of benefit cuts and reforms has sent shockwaves through Disabled peoples organisations, disability charities and allies such as Amnesty, the Trussel Trust and many more, who all agree the cuts proposed will be catastrophic.
According to the Government, the benefits system is out of control, with far too many disabled people wrongly receiving benefits. This is not the true picture.
Social security spending overall is not increasing in any significant way.
Inclusion London have made clear that in 2023/4 the UK spent 4.88% of GDP on non-pensioner social security payments, which is lower than it was in 2009 (5.75%), the comparison year the Office for Budget Responsibility used in its 2024 Welfare Trends Report on incapacity benefits.
This is a long-term trend is steady back to the 1990s. Fraud rates for disability benefits are practically non-existent: (PIP) fraud stood at 0% in the financial year ending 2024.
It is a fact that half of all people in poverty are disabled people. Disabled people can’t afford food, energy, housing and transport, and are the biggest users of Food Banks.
The community also faces additional costs related to impairments and health conditions, amounting to up to £1k extra a month and yet the Government intends to take £5 billion pounds from Disabled peoples incomes with its benefit reforms.
With the spring statement offering even less hope, there no humanitarian or economic sense of pushing more disabled people into poverty: we need to act.
The OBR has not yet been able to forecast any employment gain from the cuts/changes to incapacity & disability benefits, so effectively MPs are being asked to support these cuts without any clear assessment of what it will achieve.
These cuts are purely about saving money, nothing else. DR UK and its allies will not stay silent as benefits are cut, public services are slashed, & our rights are eroded, join us in the fight.
The Our new web page contains what action you can take how you can get involved in campaigning against these thebenefit cuta proposals how you can respond , for example responding to the consultation write writing to your MP and protesting.
Learn more about what we campaign on, and how you can campaign with us by visiting the Take Action page
Welfare Green Paper: what we know and what we don’t know
Work and Pension Secretary Liz Kendall made a statement to the House of Commons yesterday outlining the main areas of ‘Pathways to Work”, the UK Government’s Green Paper that has been in the rumour mill for weeks. The statement contained some well trailed announcements and some new details, although there are also still some significant gaps in our understanding (writes FRASER of ALLANDER INSTITUTE team).
PIP will not be frozen, but eligibility will be restricted
The Secretary of State’s headline announcement was in line with news over the weekend, which suggested that rates will not be frozen. Instead, the criteria for getting the daily living element of the Personal Independence Payment (PIP) will be raised, with a minimum of four points on one daily living activity.
The Green Paper in this section is heavily focussed on the ‘sustainability’ of the disability benefits system, and on needing to make the system more ‘pro-work.’ It’s worth noting, however, that work status is unrelated to being in receipt of disability benefits, which are designed to address the additional costs of living with a disability, whether or not someone is in work.
Sustainability too is a nebulous concept in this space. But while it makes sense to talk about sustainability of the public finances as a whole, it is not immediately clear that a growing area of spending is necessarily unsustainable, especially when responding to a clear need in society. The Government has choices – for example, to raise taxes or to cut other areas of spending. So far from being a macroeconomic imperative, to focus on disability benefits seems clearly a political choice.
There is little in the way of details of how much the UK Government intends to save in the Green Paper, but the Secretary of State mentioned the much bandied about £5bn by 2029-30 that it intends to include in the OBR forecast. We do not know how much of this figure will be generated from PIP rather than other changes.
What we now know is that the whole of the spending reductions on PIP will come from the lower end of the average award, as it is being driven through the raising the bar for claiming. But that also means that all else equal, even morepeople will lose access to the benefit. A quick calculation suggests that for every £1bn a year saved, it could mean around a quarter of a million fewer people receiving PIP, which would be a huge change.
Work capability assessment scrapped from 2028
This is a significant change, and one for which consequences in Scotland are still unknown. At the moment, the work capability assessment (WCA) is used to assess fitness for work. From 2028, the assessment for PIP will instead be used as the basis for universal credit (UC) elements related to health conditions.
This creates an issue in Scotland, because Social Security Scotland runs its own (different) assessment for Adult Disability Payment (ADP), which is the devolved equivalent of PIP. But UC is a reserved benefit administered by DWP, and that means that potential claimants in Scotland would not have access to the PIP assessment that would be used for determining eligibility for health-related UC elements. And with the PIP assessment being tightened, it will be likely further out of step with ADP.
We’ll have to wait and see what solution there will be to this – the Green Paper merely states that “consideration will be needed.” But this is an important issue that requires action on the part of both UK and Scottish departments to ensure access by claimants to this is maintained. It highlights a broader issue of the interaction between the benefits systems which is likely to be put under further strain as systems evolve separately in Scotland.
On a broader point, these proposed changes come at a time when people in receipt of Employment and Support Allowance are due to be migrated to UC by the end of 2026. Our research with people with learning disabilities showed that many are already really concerned about the upcoming changes, and these will be further changes to an already complex system. It will be crucial to clearly communicate all the changes, particularly in accessible formats.
UC rates to be rebalanced, and access to health elements restricted for those under 22
The Secretary of State also announced a big change in the relative levels of the standard and health elements of UC. The health element of UC – which is paid on top of the standard allowance – will be frozen in cash terms for the rest of the decade for those already in receipt of it, and new claims will be paid at around half the current rate (£50/week compared with the current £97/week). Alongside this, the UK Government says it will uprate the UC standard allowance by more than inflation (6% in 2026-27).
The health element of UC will also be tightened in several ways. One is that claimants will be expected to have “much more active engagement and support” in relation to work. The other large change proposed is the consultation on delaying access to the health element of UC until potential claimants are 22, with the justification being the lower likelihood of those in receipt of that element being in employment as well as the fact that those under 22 will be covered by the Youth Guarantee of employment support, training or an apprenticeship.
We note, however, that employability is an area of devolved competence, and indeed a similar scheme already exists in Scotland.
A consultation on a new ‘unemployment insurance’
The UK Government is consulting on an interesting proposal for a unified ‘unemployment insurance’ benefit, which would replace both contribution-based Jobseeker’s Allowance and Employment and Support Allowance with a single, time-limited entitlement. This is a step more in the direction of most European systems, in which contributory systems provide a much higher level of income replacement than UC, although for a limited period of time. The proposed rate is much higher than contributory JSA, which has never been a big part of the welfare system in the UK.
Higher income replacement systems are the basis of highly successful active labour market policy systems such as the Danish ‘flexicurity’ approach, and which could help smooth out cliff-edges in the labour market and incentivise retraining, but this proposal – while probably a good idea – falls well short of that kind of system. In any case, it’s also purely consultative – and as it might well cost money on net (at least in the short run), we wait to see if anything will come of this.
‘Right to try’ – a welcome development
One of the measures mentioned in the Green Paper that could have a big positive impact is the announcement of legislation to guarantee that simply starting work will not lead to a reassessment or award review. The fact that this can happen at the moment is acts as a barrier to entering employment, especially if people want to work but are unsure if it will be a good fit for their situation as they might have to reapply for benefits subsequently.
Our research with people with learning disabilities indicates that this ‘right to try’ approach might work well, as the binary ‘can work/can’t work’ doesn’t fit well for them. Many people want to work and just need the right support – so we are hopeful that some of these changes will provide just that.
We know very little about how most of the announcements will affect Scotland
PIP is being replaced in Scotland with ADP, and migration is expected to be concluded this year. None of the announcements therefore affect Scottish claimants of ADP, but they do affect the finances of the Scottish Government. As we discussed last week, the Scottish Government’s block grant adjustment is based on the projected expenditure in England and Wales, and therefore a tightening of access to PIP will (all else equal) make the Scottish Budget worse off. It is then the Scottish Government’s decision to move in lockstep or to find the additional funds from other sources.
Because the Green Paper has no costings for how much of the £5bn a year in savings comes from PIP, it’s impossible for us to say how much this will mean for the Scottish Government’s Budget. But the ready-reckoner we provided last time out – showing an effect of £90-115m for every £1bn reduction in PIP spending by the UK Government – still applies.
As we discussed before, the use of the PIP assessment for health-related UC claims is problematic in the absence of any further action, as this is not available in Scotland and the systems are diverging. The UK Government’s Green Paper says this will require “consideration”, but this is a pretty substantial change that we hope will be solved in good time. Given the proposal is for this to be done from April 2026, it is fairly urgent to get this resolved.
Employability support is a devolved area, but the UK Government says it will include an additional £1 billion to create a guarantee of personalised employment, health and skills support. Given that, we’d expect Barnett consequentials to flow from this, but the Green Paper does not explicitly state that – we’ll wait to see if there are news on this.
The restrictions on health-related UC claims for under 22s will apply in Scotland, as it’s a reserved benefit. Notwithstanding the issues with the PIP/ADP assessment compatibility, this is an area where there has certainly been growth in the past few years: in December 2024, 11,300 people aged 16-21 were in receipt of the health element of UC, compared with 4,600 in December 2019.
This gives us a first glimpse of the amount of people that might be affected by this change if it were to be introduced.
Green Paper delivers tiny income gains for up to four million households, at cost of major income losses for those who are too ill to work or no longer qualify for disability benefit support, says RESOLUTION FOUNDATION
The Health and Disability Green Paper will boost Universal Credit (UC) support for up to four million families without any health conditions or disability by around £3 a week. But these tiny gains are overshadowed by reforms that risk causing major income losses for those who are too ill to work, or those who no longer qualify for disability benefits, the Resolution Foundation said yesterday (Tuesday).
The Green Paper today sets out major reforms on entrances into the benefits system, entitlements within the system, and exits into work that aim to cut spending by £5 billion a year by the end of the decade, and change how people interact with the system.
The main savings are to be achieved through restricting entitlement to PIP – a benefit that is paid regardless of whether someone is in work, to compensate for the additional costs of being disabled.
The Foundation says that if the Government plans to save £5 billion from restricting PIP by making it harder to qualify for the ‘daily living’ component, this would mean between 800,000 and 1.2 million people losing support of between £4,200 and £6,300 per year by 2029-30.
With seven-in-ten PIP claimants living in families in the poorest half of the income distribution, these losses will be heavily concentrated among lower-income households. This looks like a short-term ‘scored’ savings exercise, rather than a long-term reform, says the Foundation, given that Ministers have also said they will look again at how PIP is assessed in the future.
Further savings are to be achieved by cutting the level of the health-related LWCRA element within UC, which is currently claimed by 1.6 million people. The proposed cuts are focused on young people (aged 16-21), who may no longer be eligible for any extra support, and those who fall ill in the future, as their additional support will be halved, from £97 per week in 2024-25 to £50 per week in 2026-27.
Reinvesting some of the cuts to health-related UC into boosting the basic award for UC (which, at around £3 more per week, is roughly a sixth of the temporary £20 a week uplift to UC during the pandemic), and greater support for the newly unemployed should benefit up to four million families who don’t receive health-related UC.
Reducing the financial gap between health-related and basic UC should reduce the incentive for people to claim incapacity benefits (which, for a single adult, is over twice as much as basic UC at present). Along with the additional employment support provided to people on UC, the Government hopes this will boost employment, although figures will not be available until the Office for Budget Responsibility publishes its spring forecast next week.
Louise Murphy, Senior Economist at the Resolution Foundation, said:“The package of measures announced in today’s Green Paper should encourage more people into work. But any living standards gains risk being completely over-shadowed by the scale of income losses faced by those who will receive reduced or no support at all – irrespective of whether they’re able to work.
“Around one million people are potentially at risk of losing support from tighter restrictions on PIP, while young people and those who fall ill in the future will lose support from a huge scaling back of incapacity benefits.
“The irony of this Health and Disability Green Paper is that the main beneficiaries are those without health problems or a disability. And while it includes some sensible reforms, too many of the proposals have been driven by the need for short-term savings to meet fiscal rules, rather than long-term reform.The result risks being a major income shock for millions of low-income households.”
Money and Mental Health Policy Institute: Response to government welfare green paper
The government has published its welfare green paper, which outlines its proposals to reform the welfare system.
In particular, the green paper sets out plans to make it harder for people to qualify for Personal Independence Payments (PIP) — a benefit which people with disabilities and long-term ill-health can claim to help cover the extra costs associated with their disability, and which is not connected to work. In addition, people aged under 22 will not be able to qualify for the health top-up element of Universal Credit.
The government has also announced £1bn additional funding for personalised employment support to help people with disabilities move into work, and that people receiving benefits will be given a “right to try” work without losing their benefits entitlement.
Commenting on the proposals, Helen Undy, Chief Executive of the Money and Mental Health Policy Institute, said:“PIP is an absolute lifeline for thousands of people with mental health problems. It can be the difference between being able to afford basic things like a phone to call your crisis team or help to clean your home, or living in disarray and increasing isolation.
“Making it harder to access will jeopardise people’s financial security and cause serious distress, which won’t set up people to go back into work and to thrive.
“These changes will mean that needing help to wash or get dressed because of your mental health wouldn’t be enough to qualify for PIP.
“The government says it will ensure people with ‘genuine need’ aren’t affected, but we’re really concerned that these new reforms will take us further back to the days when people with mental health problems were treated as less worthy of help than those with physical health issues.
“The new ‘right to try’ a job without losing the benefits is welcome, as is the funding for personalised employment support for people with disabilities or health conditions. But introducing these measures alongside cuts to PIP and stopping young people from getting incapacity benefits will do more harm than good.
“It is a short sighted approach that will have a devastating impact on many people’s finances and mental health, and we urge the government to rethink these plans.”
Largest welfare reforms for a generation to help sick and disabled people who can and have the potential to work into jobs – backed by a £1 billion investment, unveiled by the Work & Pensions Secretary today
Work Capability Assessment to be scrapped and “right to try” work guarantee to be introduced in drive to tear down barriers to work
Changes will unlock work, boost employment, and tackle the broken benefits system to unlock growth as part of the government’s Plan for Change
Record £1 billion employment support measures have been announced ‘to help disabled and long-term sick people back into work’.
The new measures are designed to ensure a welfare system that is fit for purpose and available for future generations – opening up employment opportunities, boosting economic growth and tackling the spiralling benefits bill, while also ensuring those who cannot work get the support they need as part of the government’s Plan for Change.
This will end years of inaction, which has led to one in eight young people not currently in work, education or training and 2.8 million people economically inactive due to long term sickness – one of the highest rates in the G7.
The number of people receiving one of the main types of health and disability benefit, Personal Independence Payments (PIP), has also risen rapidly and is becoming unsustainable.
Since the pandemic, the number of working-age people receiving PIP has more than doubled from 15,300 to 35,100 a month. The number of young people (16-24) receiving PIP per month has also skyrocketed from 2,967 to 7,857 a month. Over the next five years, if no action is taken, the number of working age people claiming PIP is expected to increase from 2 million in 2021 to 4.3 million, costing £34.1 billion annually.
All this has driven the spiralling health and disability benefits bill, forecast to reach £70 billion a year by the end of the decade, or more than £1 billion a week. This is equivalent to more than a third of the NHS budget, and more than three times as much as is spent on policing and keeping communities safe.
Speaking in Parliament today, Liz Kendall announced a sweeping package of reforms to overhaul the system, so it better supports those who need it while tearing down barriers to work including:
Ending reassessments for disabled people who will never be able to work and people with lifelong conditions to ensure they can live with dignity and security
Scrapping the controversial Work Capability Assessment to end the dysfunctional process that drives people into dependency – delivering on the government’s manifesto commitment to reform or replace it
Providing improved employment support backed by £1 billion – one of the biggest packages of employment support for sick and disabled people ever – including new tailored support conversations for people on health and disability benefits to break down barriers and unlock work
Legislating to protect those on health and disability benefits from reassessment or losing their payments if they take a chance on work.
To ensure the welfare system is available for those with the greatest needs now and long into the future, the government has made bold decisions to improve its sustainability and protect those who need it most, including:
Reintroducing reassessments for people on incapacity benefits who have the capability to work to ensure they have the right support and aren’t indefinitely written off.
Targeting Personal Independence Payments for those with higher needs by changing the eligibility requirement to a minimum score of four on at least one of the daily living activities to receive the daily living element of the benefit, in addition to the existing eligibility criteria.
Rebalancing payment levels in Universal Credit to improve the Standard Allowance. Raising it above inflation by 2029/30, adding £775 annually in cash terms.
Consulting on delaying access to the health element of Universal Credit until someone is aged 22 and reinvesting savings into work support and training opportunities through the Youth Guarantee.
Prime Minister Keir Starmer said: “We inherited a fundamentally broken welfare system from the previous government. It does not work for the people it is supposed to support, businesses who need workers or taxpayers who foot the bill.
“This government will always protect the most severely disabled people to live with dignity. But we’re not prepared to stand back and do nothing while millions of people – especially young people – who have potential to work and live independent lives, instead become trapped out of work and abandoned by the system. It would be morally bankrupt to let their life chances waste away.
“When I talk about opportunity for all, I mean it. That’s why we are bringing forward the biggest changes to the welfare system in a generation and improving support for those who need it. Ensuring those who can work do work is not only right, but it will also improve living standards and drive growth, the number one priority in our Plan for Change.”
Work and Pensions Secretary Liz Kendall said: “Our social security system must be there for all of us when we need it, now and into the future. That means helping people who can work to do so, protecting those most in need, and delivering respect and dignity for all.
“Millions of people have been locked out of work, and we can do better for them. Disabled people and those with health conditions who can work deserve the same choices and chances as everyone else.
“That’s why we’re introducing the most far-reaching reforms in a generation, with £1 billion a year being invested in tailored support that can be adapted to meet their changing circumstances – including their changing health – while also scrapping the failed Work Capability Assessment.
“This will mean fairness for disabled people and those with long term health conditions, but also for the taxpayers who fund it as these measures bring down the benefits bill.
“At the same time, we will ensure that our welfare system protects people. There will always be some people who cannot work because of their disability or health condition. Protecting people in need is a principle we will never compromise on.”
In her statement to Parliament, the Work and Pensions Secretary outlined the clear case for change to the welfare system and set out her commitment to ensuring that disabled people and those with a health condition have the same opportunities to work as anyone else.
In particular, she highlighted that the UK has one of the highest reported rates of working-age people out of work due to ill health in Western Europe and the UK is the only major economy whose employment rate hasn’t recovered since the pandemic – exacerbated by a broken NHS with millions of people on waiting lists.
The government has already made huge progress to fix the NHS, including by hitting the manifesto commitment to deliver over two million extra elective care appointments seven months early, and bringing forward a wider programme for NHS reform through the rollout of community diagnostic centres and 10-year plan. The Health Secretary has also sent crack teams spearheaded by top clinicians into areas of high economic inactivity, and the latest data shows waiting lists in these areas have reduced at almost double the rate of the rest of the country.
The reformed system will be built on a straightforward guarantee: any disabled person or person with a long-term health condition who is claiming out of work benefits will be able to access high quality, tailored help into a job. It will also mean that those who cannot work will always get the support they need. In Scotland and Wales, we will work closely with the devolved governments as we develop this package of support.
The reforms are based on five key principles:
Protecting disabled people who can’t and won’t ever be able to work and supporting them to live with dignity by:
Income Protection: Those currently in receipt of UC health will benefit from the increased standard allowance and will not be affected by plans to reduce UC health in future.
Extra Financial Support: For people who receive the new rate of UC health in the future system, we are proposing a new premium for individuals with severe, life-long health conditions who will never be able to work. The details, eligibility criteria and rate of this premium will be set out in due course.
Ending Reassessments: Reassessments for disabled people and people with life-long conditions who will never be able to work will be scrapped.
Improving Safeguarding Practices: The government will look at how safeguarding practices for the most vulnerable can be improved and improve experiences with the system, working with stakeholders to identify areas for improvement.
Delivering better and more tailored employment support to get more people off welfare and into work. This includes:
£1 Billion employment package to deliver tailored support for disabled people and those with long-term conditions.
New Support Conversations to provide earlier opportunities for people with health conditions to discuss work goals and available help.
Investing in the Youth Guarantee by delaying access to UC health element until age 22 and reinvesting savings into work support and training for young people.
Stopping people from falling into long-term economic inactivity through early intervention and support by:
Access to Work Scheme: We will consult on improvements to help people start and stay in work with reasonable adjustments including aids, appliances and assistive technology. These would be the first substantive changes to Access to Work since its introduction in 1994
Unemployment Insurance: We will reform contributory benefits (ESA and JSA) into a single, non-means tested, time-limited benefit for those who have paid into the system to ensure people get the support they need to find a new job that makes the most of their skills, contributing to a dynamic and productive economy.
Restoring trust and fairness in the system by fixing the broken assessment process that drives people into dependency on welfare by:
Scrapping the WCA to end the labelling of people as either ‘can or can’t work’ and consulting on a new single assessment. Under the new system, any extra financial support for health conditions (including PIP, ESA or UC health) will be assessed via a new single assessment which will be based on the PIP assessment – considering on the impact of disability on daily living, not on capacity to work.
Increasing Face-to-Face Assessments for PIP and the WCA to improve the quality of assessment decision while ensuring we continue to meet the needs of those with who may require a different method of assessment.
Longer term reform of the PIP Assessment – In the long term we will set out broader reforms to the PIP assessment, and intend first to carry out a review involving experts and stakeholders to adapt and improve it.
Right to Try Guarantee: which will ensure someone trying work or on a pathway towards employment will never lead to an immediate reassessment or award review.
Restarting Mandatory Reassessments: We will reintroduce reassessments for incapacity benefits, with exceptions for those who will never work and those under special rules for end-of-life care. Reassessments have largely been switched off since 2021, leaving people stuck on benefits when they could be helped into work and to improve their quality of life.
Ensuring the system is financially sustainable to keep providing for those who need it most by:
Changing PIP Eligibility: PIP will be targeted more on those with higher needs by requiring a minimum of four points on one daily living activity, in addition to the existing eligibility criteria.. DWP will work with DHSC to ensure that existing people who claim PIP who may no longer be entitled to the benefit following an award review under new eligibility rules have their health and eligible care needs met. The government is consulting on how best to achieve this.
Rebalancing Universal Credit: by improving the Standard Allowance to provide more adequate support. The government plans to raise the Standard Allowance above inflation by 2029/30, adding £775 in cash terms annually. This aims to avoid people having to choose between employment or adequate financial support. This change addresses the current issue where the health element rate is double that of the standard allowance, creating an incentive for people to prove they are unfit to work to claim the health element and access greater financial support.
Helen Barnard, director of policy at Trussell, said: “We’re deeply concerned by the cuts announced to disability payments today.
People at food banks have told us they are terrified of how they might survive. We welcome the positive proposals from the Department for Work and Pensions to boost the basic rate to Universal Credit and invest in employment support. However, we fear these steps will be undermined by a Treasury drive to make short-term savings.
“Huge cuts risk pushing more disabled people to the doors of food banks, and will have devastating consequences for us all. The UK government was elected on manifesto pledges to end the need for emergency food parcels. This isn’t what people voted for.
“Disabled people are already three times more likely to face hunger, and three quarters of people at food banks are disabled or live with someone who is. Our social security system should be rooted in justice and compassion, able to be there for us all, especially when we need it most.
“This isn’t a done deal. With at least a year before any cuts come into force, there’s still time for the Prime Minister and Chancellor to rethink and make good on today’s promise to restore trust and fairness in the social security system.”
The TUC said: ’11 General Secretaries of our trade union affiliates have written to the government to raise “profound concerns” about today’s welfare cuts targeted at disabled people. The labour movement must stand together with campaigners, charities & carers to resist”
Responding to today’s statement by Liz Kendall MP, Poverty Alliance policy & campaigns manager Ruth Boyle said: “People in the UK are desperate for a government that delivers a just and compassionate country.
“They want to see an end to deepening poverty, debt, destitution, and hunger in their communities. Many will be distressed, disappointed, scared, and angry at today’s announcements.
“The plans to cut the health element of Universal Credit are wrong and unjust. Cutting vital financial support to disabled people won’t help them into paid work – but it is likely to move them towards poverty.
“Equally unjust is the idea of making it virtually impossible for under-23s to get Universal Credit health support. The Government is punishing young people who aren’t fit for work simply because of their age.
“These changes are driven by a desire for financial cost savings, rather than helping people access the support they need. Positive proposals like personalised support to help people into work and a Right-to-Try will be undermined by cuts which force people into further and deeper poverty.
"The plans to cut the health element of Universal Credit are wrong and unjust. Cutting vital financial support to disabled people won't help them into paid work – but it is likely to move them towards poverty." https://t.co/gLnkE8FNAkpic.twitter.com/CZAIn0O6kL
— The Poverty Alliance (@PovertyAlliance) March 18, 2025
“Personal Independence Payments are a vital part of the social security system, and even though we have a replacement Adult Disability Payment in Scotland, there are still many people here who are on PIP.
“These social security benefits support people’s basic freedom – whether they are in work or not. They help cover some of the extra living costs that are forced on disabled people. The Government now plans to make it harder for them to get that vital support, denying them a full place in society, and undoubtedly pushing many towards debt and destitution.
“We urge the Scottish Government to maintain its commitment to justice and compassion, and to make sure the Adult Disability Payment still supports the freedom and rights of disabled people.
“It is shameful to try to balance the books on the backs of disabled people and households that are already struggling to keep their heads above water. Instead, the Government should do the responsible thing and use their tax powers to unlock our country’s wealth for investment in a strong social foundation.
“And they can scrap their self-imposed fiscal rules with a plan to help everyone build a better life for their households, and a better future for our country.”
Commenting on the Green Paper’s plans for social security reform announced by the government today (Tuesday), TUC General Secretary Paul Nowak said: “During 14 years of Tory failure, too many people were written off. Millions of workers have been left without proper support to move into work or progress in good jobs, and too many people with disabilities or ill health have not had access to the support they need.
“But change must be done in the right way. While we welcome the decision not to freeze PIP, this package will still lead to significant cuts in entitlements for some disabled people.
“As well as ensuring that those with the most severe disabilities are protected, we urge ministers to reconsider the scale of proposed cuts in disabled people’s incomes.
“Disabled people who are unable to work must not be pushed further into hardship.”
Commenting on the Green Paper’s wider proposals, Paul added: “Action to boost access to quality employment programmes and ensure that Jobcentre work coaches can provide quality and meaningful support is welcome. As too are proposals to strengthen contributory benefits.
“This needs to be accompanied by ongoing investment in the NHS, including mental health services. Better healthcare can transform lives.
“The government’s plan to Make Work Pay is also crucial to driving up the quality of jobs in Britain and ensuring more people have access to decent work.”
Transport union, RMT has criticised Labour’s decision to cut welfare spending by up to £5bn by 2030.
Eddie Dempsey RMT general secretary said: “Welfare cuts target people who rely on support to survive, including disabled people, carers, the unemployed, and those in insecure work.
“For the past 40 years our economy has been marked by low investment, wage suppression and super-high profits.
“Our economy needs to be fundamentally restructured so we can invest in housing, infrastructure and services to create well paid jobs and provide an adequate safety net for those who fall on hard times.
“There is an enormous amount of wealth in this country and the Labour government should be using the economic levers at their disposal to capture it from the rich.
“Billions could be recouped by the treasury through levies on wealth, the closure of tax loopholes, and extracting excess corporate profits.
“RMT stands with all in our working-class communities, including the disabled and unemployed.”
OXFAM Scotland tweeted: ‘Just a reminder there’s no shortage of money in the UK, just a shortage of political will to go out & tax it.
‘While more people risk being locked into hardship/deeper poverty, the ballooning bank balances of the UK’s richest millionaires/billionaires get off virtually scot-free’
The Disability Policy Centre’s Interim Director of Research, Arun Veerappan, response to the Government’s release of the Green Paper this afternoon.
Green MSP slams Labour betrayal of disabled people and calls on MPs to fight back
Scottish Green’s co-leader and MSP for Lothian region Lorna Slater is calling on Labour MPs to fight back on the inhumane cuts that the UK government are proposing to hit their fiscal targets.
In the Westminster government’s latest controversial move, it has announced a package of changes expected to affect some of the UK’s most severely disabled people. The measures will deny benefits for thousands of people across the country.
Lorna Slater MSP for Lothian region said: “These cuts will make a cruel and dehumanising system even more brutal than it already is. They will spread pain and misery across every community.
“ This decision is immoral. You can’t cut £5 billion of support without causing real harm to disabled people.
“ None of this is inevitable. Labour could choose to bring in a wealth tax that collects a fair and justified share from the richest people to invest in the services we all rely on.
“Labour are doubling down on the Tory idea that you can work your way out of disability. They are sending a cruel and dangerous message that only people who can boost our economy are worth supporting. They promised an end to austerity, but this goes even further than anything that the Tories ever dared.”
“The fact that they are choosing to punish the people with the least tells us everything we need to know about Labour’s values. The millions of people who waited 14 long years to get rid of the Tories deserve so much better than this.”
‘Cuts to benefits announced today have clearly been motivated by a desire to make short-term savings to meet arbitrary fiscal rules, says New Economics Foundation’s Head of Social Polict Tom Pollard.
‘They’re not going to help ill and disabled people, they’re only going to create more problems.’
Former Labour Party leader and now Independent MP Jeremy Corbyn said: “This is a seminal moment: a Labour government cutting disability benefits. Not just continuing Tory levels. Cutting.
“This comes after a week of speculation, itself an act of cruelty by a government toying with people’s dignity. These cuts are disgraceful – and will cost lives.”
Scope charity commented: “These plans will be catastrophic for disabled people’s living standards. Nearly half of families living in poverty already include someone who is disabled. Now the government is choosing to penalise some of the poorest people in our society.
“We welcome the investment in tailored, non-compulsory employment support. But ripping £5 billion out of the benefits system by 2030 will completely undermine this positive step.
“Countless disabled people, charities, MPs, and experts are urging the government to think again. And we’re not backing down. The consultation is likely to receive an overwhelming response. We urge the government to listen to disabled people and think again.
“Over the coming days, we’ll analyse all the details in the government’s plans. We’ll then share more information about what these changes mean and who could be affected as soon as we can. We’ll also share ways you can have your say in the consultation.
‘This is an especially worrying time for many disabled people. If you’re concerned about these changes, you can contact our helpline for advice and support.
Call us free on 0808 800 3333, or visit our website for more ways to get in touch:
‘If you need to talk to someone about how you’re feeling, day or night, Samaritans are here to help. Call 116 123 for free, or visit their website https://samaritans.org “
Money and Mental Health response to government welfare green paper
Today the government has published its welfare green paper, which outlines its proposals to reform the welfare system.
In particular, the green paper sets out plans to make it harder for people to qualify for Personal Independence Payments (PIP) — a benefit which people with disabilities and long-term ill-health can claim to help cover the extra costs associated with their disability, and which is not connected to work. In addition, people aged under 22 will not be able to qualify for the health top-up element of Universal Credit.
The government has also announced £1bn additional funding for personalised employment support to help people with disabilities move into work, and that people receiving benefits will be given a “right to try” work without losing their benefits entitlement.
Commenting on the proposals, Helen Undy, Chief Executive of the Money and Mental Health Policy Institute, said:“PIP is an absolute lifeline for thousands of people with mental health problems.
“It can be the difference between being able to afford basic things like a phone to call your crisis team or help to clean your home, or living in disarray and increasing isolation. Making it harder to access will jeopardise people’s financial security and cause serious distress, which won’t set up people to go back into work and to thrive.
“These changes will mean that needing help to wash or get dressed because of your mental health wouldn’t be enough to qualify for PIP. The government says it will ensure people with ‘genuine need’ aren’t affected, but we’re really concerned that these new reforms will take us further back to the days when people with mental health problems were treated as less worthy of help than those with physical health issues.
“The new ‘right to try’ a job without losing the benefits is welcome, as is the funding for personalised employment support for people with disabilities or health conditions. But introducing these measures alongside cuts to PIP and stopping young people from getting incapacity benefits will do more harm than good.
“It is a short sighted approach that will have a devastating impact on many people’s finances and mental health, and we urge the government to rethink these plans.”
Mikey Erhardt, Policy Officer at Disability Rights UK, said: “The minister stood up today and made clear that, after months of rumours, media speculation and spin, these reforms are not about supporting Disabled people into work, but making brutal and reckless cuts of £5 billion. That is up from £3 billion just a few weeks ago.
“The rise in claims is driven by the increase in the retirement age, record NHS waiting lists, inadequate education and mental health support for young Disabled people and a complete failure to tackle the disability employment and pay gaps. Yet the government has decided to create a rhetorical smokescreen around the depth of cuts it’s going to make.
“The government intends to bar young Disabled people from receiving the Universal Credit health component until they are 22. That is alongside their promise to significantly increase assessments at scale without making the assessment process safer for those going through the system right now.
“These measures mark dangerous cuts for all Disabled people. Furthermore, altering the PIP award criteria will make it harder for those who need support to qualify.
“The minister’s assertion that 1000s more face-to-face assessments will be more accurate is laughable; we know that in-person assessment causes more stress and worry and often leads to inaccurate findings from assessors.
“Let’s be clear: there is nothing ambitious about cutting support from those who need it and that’s what today’s announcements were really about. Rising claims for personal independence payment reflect not a problem with Disabled people but rather reflect successive government’s failure to do even the bare minimum to create a more equitable society.”
Mental Health Foundation responded:
Responding to the Government’s proposed changes to welfare and work announced today, Carers Trust’s CEO, Kirsty McHugh, said:“In the midst of today’s announcements on welfare reform, we cannot lose sight of the nation’s carers. Two-thirds of carers have been forced to give up work or cut back on hours because of their caring role.
“Many would like to work if they were able to access flexible jobs and the right employment support – sadly this is rarely on offer. But for many carers, work isn’t an option – either because of the toll of their caring role or their own ill health.
“Proposals to tighten eligibility criteria for benefits will strike fear into the heart of many carers. Around half a million carers look after someone receiving Personal Independence Payments (PIP), and nearly 150,000 people rely on both PIP and Carer’s Allowance.
“Disabled people and their carers are already among the most vulnerable in our society and more likely to live in poverty. Reducing their access to a financial safety net could push them over the edge.
“Carers already prop up our ailing health and social care system and we cannot introduce welfare changes that leave carers again picking up the pieces. We therefore welcome the commitment in the Green Paper to consider the impact of these changes on carers.”
The latest government announcement on reforms to financial support for those with ill health or disability is misleading rhetoric. The lives of those with ill health or disability are completely misrepresented, and the language they use is divisive, (writes TUC’s ANJUM KLAIR).
The Government has deliberately confused the purpose of this benefit in order to ramp up its benefit scrounger rhetoric. PIP is not an out-of-work benefit: disabled people in full-time employment can be, and are, assessed as eligible for PIP. It assesses whether someone’s impairment or health conditions affects their day-to-day life and is intended to cover some of the additional costs incurred as a result of being disabled. It is not for assessing if you are capable of work- or work-related activity.
The idea that you can claim PIP for mild mental illness is untrue. The criteria for accessing PIP is stringent. You have to be suffering from severe mental illness. It is a complex application process and have to provide medical evidence.
If the current data is showing rising numbers of those with severe depression and anxiety claiming PIP, you don’t change the eligibility criteria to reduce claimant numbers – you look at the underlying drivers of ill health.
More than a decade of austerity under the Conservatives has resulted in crumbling public services.
The approach by government is to blame individuals. Only recently the Prime Minister attacked those too sick to work, by saying UK had a sick note culture, yet the data on workplace sickness absence does not suggest any substantial challenges.
And again, government conflates two separate areas, sick notes look at short-term illness for those in work and not long-term illness and disability. It is the rise in long-term sickness and disability which is alarming.
The ideas proposed in the consultation also include the insulting suggestion that disabled people are not to be trusted with spending their benefits on essential support. As it moves away from a fixed cash benefit and proposes to reimburse for extra costs, this also assumes that disabled people have the money to pay up front for this.
The consultation also proposes accessing treatments rather than receiving benefits for ill health, yet it is the lack of access to treatment which is exacerbating the increase in ill health. The long delays are well documented. Just for mental health support there is around1.9 million people waiting for support in England,
The Work Capability Assessment (WCA) to be abolished and eligibility for the health top-up in Universal Credit (UC) ( in this case the health element) will be passported (i.e. approved) via PIP.
The current UC Limited Capability for Work and Work-Related Activity (LCWRA) element will be replaced with a new UC health element.
Introduce more tailored conversations for claimants with work coaches, to enter suitable employment.
While we have issues with the validity of WCA decisions, it is supposed to assess people’s ability to work, while PIP clearly does not do this. This proposed change would amount to a huge financial cut to those not well enough to work. The IFS estimates that one million disabled or seriously unwell people who can’t get PIP would lose out by £350 a month.
Wider problems in the Government’s plan include the proposed introduction of a new personalised health conditionality approach. Disabled people will also face a higher risk of sanctions, as at present people currently identified as being unable to work and prepare for work are protected but could lose this right under the changes.
Such measures do not consider the structural barriers that stop disabled people from entering into the workplace, such as discrimination from employers, a failure to put in place reasonable adjustments, and inaccessible transport. The result will be many disabled people whose health makes it difficult or impossible to carry out work activity without a realistic chance of getting a job, being threatened with sanctions.
Separately the Government has made changes to descriptors in the WCA to apply from September 2025 for new claimants. As a result, 424,000 fewer people are expected to be assessed as having limited capability for work and work-related activity by 2028 to 2029.
The theme by the Conservative government is to constantly reduce eligibility to cut social security entitlement for disabled people or those with ill health. Government needs to end this cruel assault on sick and disabled people.
THE Prime Minister has unveiled a package of welfare reform measures to tackle the unprecedented rise in economic inactivity and ensure the benefits system is ‘better targeted at those who need it most’.
PM to announce plans to overhaul benefits system to ensure people who are fit to work aren’t left behind on benefits
Fit note system to be reviewed after 11 million fit notes issued last year with 94% written off as unfit to work
Comes amid unprecedented rise in inactivity due to long term sickness with latest figures showing almost a third of working age adults are inactive
The Prime Minister’s new plan for welfare will end Britain’s “sick note culture”, which has resulted in a significant rise in people being unnecessarily written off work and parked on welfare.
It comes amid concerns that the fit note system has opened the floodgates for millions of people to be written off work and into welfare without getting the right support and treatment they might need to help them stay in work.
Data recently published by the NHS shows almost 11 million fit notes were issued last year, with an overwhelming 94% of those signed “not fit for work”. A large proportion of these are repeat fit notes which are issued without any advice, resulting in a missed opportunity to help people get the appropriate support they may need to remain in work.
To address this, the Prime Minister yesterday announced a review of the fit note system to stop people being written off as “not fit for work” by default and instead design a new system where each fit note conversation focuses on what people can do with the right support in place, rather than what they can’t do.
As part of this, the government will consider shifting the responsibility for issuing the fit note away from already stretched GPs, towards specialist work and health professionals who have the dedicated time and expertise to provide an objective assessment of someone’s ability to work and the tailored support they may need.
A call for evidence will be published later today to seek responses from a diverse range of perspectives, including those with lived experiences, healthcare professionals and employers, both on how the current process works and how it can better support people with health conditions to start, stay, and succeed in work.
The Prime Minister said: “We don’t just need to change the sick note, we need to change the sick note culture so the default becomes what work you can do – not what you can’t.
“Building on the pilots we’ve already started we’re going to design a new system where people have easy and rapid access to specialised work and health support to help them back to work from the very first Fit Note conversation.
“We’re also going to test shifting the responsibility for assessment from GPs and giving it to specialist work and health professionals who have the dedicated time to provide an objective assessment of someone’s ability to work and the tailored support they need to do so.”
Setting out his vision for a “new welfare settlement for Britain”, the Prime Minister outlined the new challenges that have emerged since the pandemic particularly the unprecedented rise in inactivity and how the government plans to tackle them.
Before the pandemic, we had the second lowest inactivity rate in the G7, lower than France, Germany, Italy, USA and Canada. But since the pandemic, a significant number of working aged people have become inactive due to long term sickness which has in large part been driven by mental health conditions.
Latest figures from the Office for National Statistics suggest there are currently 2.8 million people who are ‘economically inactive’ due to long-term sickness, a near-record high. Of those inactive due to long term sickness at the start of last year, 53% reported that they had depression, bad nerves or anxiety.
This is also driving an unsustainable increase in welfare spending as more people claiming disability benefits are now assessed as having anxiety or depression as their main condition.
Since the pandemic, total spending on working age disability and ill-health benefits increased by almost two-thirds from £42.3 billion to £69 billion and we now spend more on these benefits than our core schools’ budget or on policing.
The fit note process is often the first step to someone falling out of work and acts as a gateway towards some ill health and disability benefit assessments. There is also clear evidence that the longer someone is out of work, the lower the likelihood that they return to work – further exacerbating the rise in inactivity.
The Prime Minister made the case that we need to be more ambitious about how we help people, particularly with mental health conditions, back into work and ensure they are not left behind on the benefits system.
The Prime Minister added: “We should see it as a sign of progress that people can talk openly about mental health conditions in a way that only a few years ago would’ve been unthinkable, and I will never dismiss or downplay the illnesses people have.
“But just as it would be wrong to dismiss this growing trend, so it would be wrong merely to sit back and accept it because it’s too hard; or too controversial; or for fear of causing offence. Doing so, would let down many of the people our welfare system was designed to help.
“Because if you believe as I do, that work gives you the chance not just to earn but to contribute, to belong, to overcome feelings of loneliness and social isolation and if you believe, as I do, the growing body of evidence that good work can actually improve mental and physical health…
“…then it becomes clear: we need to be more ambitious about helping people back to work and more honest about the risk of over-medicalising the everyday challenges and worries of life.”
Yesterday’s fit note review builds on the significant steps the UK Government has taken so far to break down barriers to work and tackle inactivity.
This includes through our £2.5 billion Back to Work Plan which is already helping over a million people, including those with mental health conditions, break down barriers to work by expanding access to mental health services and putting an additional 384,000 people through NHS Talking Therapies.
The new WorkWell pilot is also being rolled out and will support almost 60,000 long-term sick or disabled people to start, stay and succeed in work once it has gone live in approximately 15 areas across England.
The WorkWell services provides a single, joined-up assessment and gateway into local employment support services, to help people manage their health conditions and get back to work sooner. This is part of an ambitious programme to support disabled people and people with health conditions to start, stay and succeed in work.
DWP are also testing reforms of the fit note process to integrate it more closely with WorkWell, enabling the people who need it to have a work and health conversation, with a single, joined-up assessment and gateway into local employment support services.
It will also complement the role of Occupational Health in ensuring employers understand and benefit from more expert work and health support to retain and support those in work.
The fit note call for evidence is part of five key reforms the Prime Minister outlined in his speech to put work at the heart of welfare and modernise the welfare system to ensure it is fit for the future.
The Chancellor is expected to announce reforms to the welfare system that will encourage thousands more into work and to boost their earnings, helping grow the economy.
Around 120,000 more benefit claimants will be asked to take active steps to seek more and better paid work, or face having their benefits reduced.
Over 50s to get more support to find work, boosting economic growth.
The Chancellor is this week expected to announce changes to Britain’s welfare system that will help boost people’s earnings, get them into work and support economic growth.
Changes to Universal Credit expected to be announced later this week will require benefit claimants working up to 15 hours a week at National Living Wage to meet regularly with their Work Coach and take active steps to increase their earnings or face having their benefits reduced.
This gradual expansion is an increase from the 12-hour threshold and will bring an additional 120,000 benefit claimants into the Intensive Work Search Regime.
With more than 1.2 million job vacancies across the UK, Work Coaches will set clear expectations with claimants and make sure they stick to their commitments. These commitments could include applying for jobs, attending interviews or increasing their hours. People who don’t fulfil their job-search commitments without good reason could have their benefits reduced in line with existing benefit sanctions policy.
Eligible claimants over 50 years old, including new claimants and the long-term unemployed, will also get extra support from Work Coaches. The newly unemployed will get 9 months of targeted sessions, and people who are long-term unemployed will receive a booster session followed by 3 months of intensive employment support.
Rising economic inactivity in the over 50s is contributing to shortages in the jobs market, driving up inflation and limiting growth. Returning to pre-pandemic activity rates in the over 50s could boost the level of GDP by up to 1 percentage point.
Chancellor Kwasi Kwarteng said: “Our jobs market is remarkably resilient, but it is not perfect. While unemployment is at is at its lowest rate for nearly fifty years, the high number of vacancies that still exist and inactivity in the labour market is limiting economic growth.
“We must get Britain working again. These gradual changes focus on getting people back into work and maximising the hours people take on to help grow the economy and raise living standards for all.
“It’s a win-win. It boosts incomes for families and helps businesses get the domestic workers they need, all while supporting economic growth.”
Secretary of State for Work and Pensions Chloe Smith MP said: “As we continue to face economic challenges and labour market shortages, we are committed to helping people on lower incomes to boost their pay – because we know work is one of the best ways to support your family and help grow our economy.
“Whether it’s increasing their hours in their current role, entering a new sector or switching careers, we want people of all ages and all stages to be able to progress into fulfilling careers.
“The expertise our dedicated DWP Work Coaches bring, will help to drive this change by removing barriers to progression and opening up opportunities for training and building skills, to increase earnings.”
These changes will be Great Britain-wide and, in line with usual practice, the UK Government will work with the Northern Ireland Civil Service to determine the most suitable way to deliver support in Northern Ireland in due course.
Certain groups will remain exempt from sanctions, including people who are unable to work due to long-term sickness or a disability.
New report on impact of UK Government policies on families in Scotland
A new report estimates 70,000 people in Scotland, including 30,000 children, would be lifted out of poverty by 2024 if UK Government welfare reforms introduced since 2015 were reversed.
The cost of reversing changes, including the removal of the £20 per week Universal Credit uplift and the two child benefit cap would be around £780 million a year, according to estimates in the Scottish Government’s Welfare Reform – Impact on Families with Children report.
Last month the Scottish Government published its second Tackling Child Poverty Delivery Plan – Best Start, Bright Futures – which sets out immediate and longer term actions to support people out of poverty and to tackle its deep-seated causes.
Social Justice Secretary Shona Robison said: “Tackling child poverty is our national mission and we are helping to lift thousands of children out of poverty in Scotland within our limited powers. This report lays bare the cost of repeated UK Government welfare reforms since 2015 and the challenge we face in lifting children and families out of poverty for good.
“We are determined to tackle the cost of living crisis and we’re already helping to lift thousands of children out of poverty. We invested almost £6 billion from 2018-21 to support low income households, including around £2.18 billion to directly support children. We are also taking steps to mitigate the impact of the UK Government’s bedroom tax and benefit cap as fully as we can within our limited powers.
“We have introduced a package of five family benefits, including the Scottish Child Payment that we will raise to £25 a week by the end of 2022. We are also investing in employment support for parents, through new skills and training opportunities and key worker support to help reduce household costs and drive longer term change.”
The amount given in crisis grants to those most in need has increased by more than a third, latest figures show. The Scottish Welfare Fund paid out a total of £3.2 million in crisis grants between July and September 2019 – 34% more than the same period the previous year.
The Scottish Welfare Fund is distributed by local authorities and provides Crisis Grants and Community Care Grants.
Crisis Grants help families on low incomes with unexpected expenses arising out of an emergency or a disaster. Community Care Grants help those on low incomes live independently in the community or to help people maintain their home in the face of exceptional pressure.
The most common reason families said they applied for emergency funding was because their benefits or other income had been spent – up 33% on the previous year.
Estimates suggest the UK Government’s social security spending in Scotland is set to reduce by £3.7 billion per year by 2021. In addition, the benefit freeze and benefit cap are now in their fourth year.
Social Security Secretary Shirley-Anne Somerville said: “This is the latest evidence that the UK Government’s swingeing benefit cuts are hitting the poorest in Scotland hardest.
“The large increase in people applying for emergency funding shows how much those on low incomes are struggling just to make ends meet.
“The Scottish Government will not stand by and let people who are already in need continue to face a reliance on food banks and the stress of debt and rent arrears.
“That’s why we are continuing to spend over £100 million each year to mitigate the worst effects of the UK Government welfare cuts – part of the £1.4 billion we spent last year to support low income households.
“This is money we should be able to invest elsewhere to help pull people out of poverty but we instead we need to use it to protect the most vulnerable in our communities.
“We are introducing the Scottish Child Payment to tackle child poverty head on which will start for eligible families with a child under six by Christmas. But there is no doubt that without the cuts inflicted on families by the UK Government this could go so much further.”
