Disability Benefit Cuts: How New Plans Could Slash Payments by £4,680 a Year
Disability benefit cuts may reduce payments by £4,680/year

The Department for Work and Pensions (DWP) is considering significant changes to Personal Independence Payment (PIP) assessments that could see maximum annual payments reduced by £4,680 for disabled claimants.

What's Changing?

Under current proposals being explored by ministers:

  • The daily living enhanced rate could drop from £101.75 to £61.85 weekly
  • The mobility enhanced rate may decrease from £71.00 to £43.10 weekly
  • Assessment criteria would focus more narrowly on specific conditions

Impact on Claimants

Charities estimate these changes could affect over 300,000 people currently receiving the enhanced rates. The proposed reductions would mean:

  1. A single claimant could lose £89.80 per week
  2. Annual losses of £4,669.60 for those on both enhanced rates
  3. Particular impacts on those with mental health conditions

Government Rationale

Ministers argue the reforms aim to create a fairer system by:

  • Targeting support more precisely
  • Reducing perceived overpayments
  • Aligning with modern medical understanding

Charity Warnings

Disability rights organisations have expressed alarm, stating:

"These cuts would plunge many disabled people into poverty and reduce their ability to live independently."

They highlight particular concerns about removing support for those managing fluctuating conditions.

What Happens Next?

The proposals are currently under consultation until July 2024. Final decisions are expected later this year, with potential implementation in 2025.