The Government has confirmed plans to stop benefit payments for serious criminals, including killers and sex offenders, detained in hospital under new regulations laid in Parliament on Tuesday. The move ends the so-called “double provision” that allows offenders to claim hundreds of pounds a month for living costs while receiving NHS psychiatric treatment.
The regulations seek to close the loophole and prevent serious criminals from receiving up to £800 a month in universal credit over several years, saving an estimated tens of millions of pounds annually. The Government said the confirmation follows engagement with victims’ families and experts as part of its plan to “put fairness back of the heart of the welfare system”.
New DWP regulations
The new regulations are expected to come into force early next year following parliamentary approval. Work and Pensions Secretary Pat McFadden said: “We said we’d act to tackle this gross unfairness and we’re delivering on that promise. For too long these violent criminals have had their living costs paid by the taxpayer twice over, while their victims and families paid the price. That ends today because victims and taxpayers deserve a system that is fair and supports only those who genuinely need it.”
Parents of Barnaby Webber and Grace O’Malley Kumar, who were killed by Valdo Calocane in Nottingham in 2023, welcomed the announcement. Calocane was convicted of manslaughter on the basis of diminished responsibility.
Fairness call
Emma Webber, Barnaby’s mother, said: “This is long overdue and simply the right thing to do. It was a disgrace that Calocane and offenders like him have ever received taxpayers’ money. A hospital bed does not erase the egregious crimes committed, nor the destruction they have caused. Closing this loophole finally delivers some basic accountability that victims deserve.”
Dr Sanjoy Kumar, Miss O’Malley-Kumar’s father, said: “Our campaign has always been about accountability and fairness. On the principle of fairness alone, we do not see why taxpayers should fund benefits while they are incarcerated. We are grateful to the Secretary of State Pat McFadden for taking action and listening to our campaign which always been about what is good for the country.”
Who the DWP changes will affect
The proposed regulations apply to individuals subject to a Section 37 order under the Mental Health Act 1983 and a Section 57A order under the Criminal Procedure (Scotland) Act 1995. The offences covered include manslaughter, attempted murder, wounding with intent to cause grievous bodily harm, rape, assault by penetration and rape of a child under 13.
Murder is not included as a hospital order is not applicable because the offence attracts a mandatory life sentence. The change in regulation is expected to affect about 2,500 offenders already in hospital and approximately 200 a year in future, the Government said.
The full financial impacts of the approach will be published as part of the 2026 budget on October 28. The NHS will continue to provide appropriate mental health support to the offenders affected.
Helen Whately, the shadow work and pensions secretary, said: “Killers and rapists should not pocket benefits from a hospital bed. Labour has taken all year to stop a loophole it promised to close. And tens of millions saved barely makes a dent in the benefits bill Labour has let spiral out of control. The Conservatives would make universal credit a conditional, time-limited benefit, so taxpayers’ money goes only to those who genuinely need it.”