New rules have been proposed to reform the way PIP and Universal Credit is handed out.
In a bill published on Wednesday, the government said they will be giving additional protection to the most vulnerable, as well as enough time for people to plan for the future.
Labour said they wanted to fix the ‘broken social security system’, with millions not working.
What are the Universal Credit reforms?
- Ending reassessments for those classed as having a severe condition who will never be able to work.
- They will also be paid the higher rate of Universal Credit health top up of £97 per week.
- The DWP said they are also bringing in the Right to Try Guarantee which will mean trying to work will not lead to reassessment.
Universal Credit rates are also set to be rebalanced by reducing health element for new claims to £50 from April.
All of those affected by the reforms will be offered support from a dedicated Pathways to Work adviser.
The DWP said: ‘All of those affected by reforms will be actively contacted and given the offer of a conversation about their support needs, goals and aspirations; offered one-to-one follow-on support, and given help to access additional work, health and skills support that can meet their needs.’
What are the changes to PIP?
The proposed package to PIP includes:
- Reintroducing reassessments for people on incapacity benefits who have the capability to work so they are not written off.
- 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.
- Potentially delaying access to the health element of Universal Credit until someone is aged 22.
- Reinvesting savings from this into work support and training opportunities through the Youth Guarantee.
Why is the DWP introducing these changes?
The DWP said since the pandemic the number of PIP awards has more than doubled to 34,000 a month, with around 1,000 people signing on to it everyday.
There has been a surge in anxiety and depression being reported as the main condition.
The government is also aiming to get one million young people in work, education or training.
Work and Pensions Secretary Liz Kendall said: ‘Our social security system is at a crossroads. Unless we reform it, more people will be denied opportunities, and it may not be there for those who need it.
‘This legislation represents a new social contract and marks the moment we take the road of compassion, opportunity and dignity.
‘This will give people peace of mind, while also fixing our broken social security system so it supports those who can work to do so while protecting those who cannot – putting welfare spending on a more sustainable path to unlock growth as part of our Plan for Change.’
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