The Department for Work and Pensions (DWP) has provided a significant update regarding benefit payments for individuals receiving Personal Independence Payment (PIP), Universal Credit, and several other key allowances. This clarification came in response to a parliamentary question from Liberal Democrat MP David Chadwick.
Government response to income guarantee proposal
Mr Chadwick had asked the Government whether it would implement a policy to guarantee working-age people with a terminal illness an income equivalent to the state pension. The full new state pension is currently worth £230.25 per week, or £11,973 annually. This amount is set to rise by 4.8% in April 2025 under the triple lock, increasing to £241.30 weekly (£12,547.60 a year).
In a written response, DWP minister Sir Stephen Timms stated that the Government has "no such policy" for a guaranteed state pension-level income. However, he emphasised the administration's commitment to supporting those nearing the end of their life and detailed the existing mechanisms designed to provide faster and enhanced financial aid.
Fast-track support under Special Rules for End of Life (SREL)
The minister highlighted the Special Rules for End of Life (SREL) as the primary method of support. These rules are intended to facilitate quicker and simpler access to benefits for adults and children who are likely to have less than 12 months to live.
Under SREL, claimants can apply for a fast-tracked claim for the following benefits, potentially avoiding a lengthy medical assessment:
- Personal Independence Payment (PIP)
- Universal Credit
- Employment and Support Allowance
- Disability Living Allowance for children
- Attendance Allowance
Claimants may need to provide medical evidence using an SR1 form to support an application made under these special rules.
Higher payment rates for terminal illness claims
The guidance confirms that applying under the Special Rules can result in higher payments for certain benefits. For instance, a claim for Personal Independence Payment (PIP) made under SREL automatically qualifies for the higher rate of the daily living component.
Currently, this is £110.40 per week (£5,740.80 a year), compared to the standard lower rate of £73.90 weekly. If the higher PIP rate were increased to match the proposed state pension level of £230.25, it would represent an additional £119.85 per week (£6,232.20 a year) for recipients.
PIP also includes a mobility component, which pays either £29.20 (lower rate) or £77.05 (higher rate) per week, depending on how a claimant's condition affects them.
Commitment to rapid processing
Sir Stephen Timms reinforced the DWP's dedication to swift processing for eligible end-of-life claimants. He revealed that new PIP claims under the Special Rules are currently being cleared in just 3 working days on average across Great Britain.
Additional Government guidance notes that under SREL, claimants may also receive Universal Credit "more quickly and at a higher rate." This update serves to clarify the existing support framework for some of the most vulnerable individuals in the benefits system, following the parliamentary inquiry.
