Lump sum welfare payments worth thousands are being paid to claimants with addictions, who then spend the cash on drugs and alcohol, according to experts. Medics and support staff say back payments made by the Department for Work and Pensions (DWP) when claimants are approved for Personal Independence Payments (PIP) can lead to relapses.
A member of staff from a rehabilitation centre in Lancashire told The Times that paying addicts thousands with no limits on how it is spent worsens their situations. He told the publication: "PIP is killing people."
Support workers change approach after back payments
The support worker, who asked not to be named, told The Times staff change their approach when their clinic finds out a client has received a back payment, adding this is because they could be dead within a week or two. They said: "The benefits aren't being used as they should be."
Dr Bernadette Hard recalled a case where a patient was in line for a £15,000 back payment. Efforts to avert a relapse included prescribing naloxone, which reverses the effect of opioids, proved unsuccessful as the patient dropped out of their treatment and spent the payment on a binge.
Doctor urges checks on cash payments
The doctor urged the Government to put simple checks in place and consider if risks to a PIP recipient would be increased by being given the money as cash.
PIP aims to provide help with extra living costs for people with a long-term physical or mental health condition or disability. It can also be for those who find it difficult to carry out daily tasks, such as cooking, using the toilet and bathing, or to get around due to their condition.
In England and Wales, PIP is the main disability benefit for working-age people. It isn't means-tested according to a person's income or wealth and is not linked to whether a recipient works or not.
Government review and rising claims
Labour MP Sir Stephen Timms is leading a government review of how the disability benefits system is designed, with recommendations due this autumn.
A spokesperson from the DWP said the Timms Review has made clear that PIP, as it was designed in 2013, is no longer fit for purpose and recommendations from its final report would lay the foundations for sustainable reform.
The number of people claiming PIP has shot up since 2019. In August of that year 5.5% of 16-64-year olds in England and Wales claimed disability benefits. This rose to 8.2% by August last year, DWP figures show. Disability spending on working-age adults has risen from £14billion in 2019–20 (0.5% of GDP) to £25bn in 2025–26 (0.8% of GDP). This spending is forecast to rise to £34bn by 2030–31, according to the DWP.
Nearly 18,000 PIP claimants identify substance or alcohol abuse as their main disabling condition, The Times reports. In 2025, an estimated £128million was spent on PIP payments to those with "substance misuse problems".
Material deprivation and potential reforms
Fifty-one percent of PIP claimants are deemed to be in "material deprivation", which means they report not being able to afford five or more basic essentials, according to the Institute for Fiscal Studies (IFS). The thinktank said this is higher than the share of people with disabilities who do not claim PIP, at 33%, and a lot higher than those who are not disabled, 15%.
The IFS has suggested one potential reform would be to require medical diagnoses to qualify for PIP to increase a "more objective" check on a claimant's disability. But the thinktank noted that such a move would have a "modest" impact as 85% of PIP claimants report having a medical diagnosis.
DWP's spokesperson said substance use disorders are clinically recognised conditions which often co-exist with other mental and physical conditions. They said PIP is awarded based on how a condition affects a person's day-to-day needs rather than the condition itself.
