Welfare Reforms Could See End of Cash Benefits for Some Conditions

Mel Stride had earlier suggested people with mild depression or anxiety could be offered therapy instead of disability benefits to help them get back to work.
Welfare Reforms Could See End of Cash Benefits for Some Conditions
Work and Pensions Secretary Mel Stride leaving 10 Downing Street following a Cabinet meeting in London, on Jan. 30, 2024. (Victoria Jones/PA Wire)
Victoria Friedman
4/30/2024
Updated:
4/30/2024
0:00

The work and pensions minister has launched a consultation on reforming the UK’s disabilities support system, which could see an end of cash benefits for some conditions.

On Monday, Mel Stride presented in the House of Commons a Green Paper outlining welfare reforms to personal independence payments (PIPs), the main disability benefit, which propose “moving away” from a fixed cash benefit system towards “tailored support.”

The Green Paper says that “for some people with certain health conditions, it may be that treatment and other support are more effective at helping them live an independent life than cash transfers through the welfare system.”

Mr. Stride told the Commons: “This government’s priority is to make sure that our welfare system is fair and compassionate. Fair on the taxpayer, by ensuring that people of working age who can work, do work, and fair on those who are in most need of the state’s help.”

The announcement came amid a rise in people signing off from work with long-term sickness. Earlier this month, Prime Minister Rishi Sunak outlined welfare reforms which he said would end the UK’s “sick note culture” and help more people who are able to get back into work.

Grants and Other Support Could Replace Cash Payments

A move away from the fixed cash benefit system for some conditions could mean some people are offered other forms of support, such as one-off grants for home adaptations or vouchers or reimbursements for specific costs, like for appliances and services.

Other proposed changes could be made to eligibility criteria, which, the government said, would better reflect how health conditions affect a claimant’s daily life.

Assessments could also be more closely associated with a person’s conditions and may see the need for assessments to be scrapped entirely for those whose conditions are supported by medical evidence, as well as those with long-term disabilities or terminal illnesses.

The proposals will be open for consultation for the next 12 weeks, closing on July 23.

“These proposals will help create a benefit system that can better support disabled people and people with long-term health conditions to live full and independent lives and are a crucial part of my mission to ensure the welfare system is both fair and compassionate and provides the right help to those who need it most,” Mr. Stride told the Commons.

There are now 2.6 million people of working age claiming PIP and its predecessor, Disability Living Allowance, with over 33,000 new PIP awards each month, which, according to the government, is “more than double the rate before the [COVID-19] pandemic.”

The government says this is expected to cost British taxpayers £28 billion a year by 2028/29, which is a 110 percent increase since 2019.

“This is in part fuelled by the rise in people receiving PIP for mental health conditions such as mixed anxiety and depressive disorders, with monthly awards doubling from 2,200 to 5,300 a month since 2019,” it said.

People With Depression Could Be Offered Therapy

The announcement came after Mr. Stride had suggested that people with mild depression or anxiety could be offered therapy instead of cash disability benefits.
Mr. Stride told The Times of London that providing “meaningful support” to a person struggling with mild mental ill-health could help them get back to work.

He said it could be that “where you have mild depression or anxiety, that the best thing to do is not so much a cash transfer, but actually some kind of meaningful support that helps get that person into a position where they’re having a much better life, where work is at the centre of their life.”

“There are those that have perhaps milder mental health conditions, or where perhaps there has been too great a move towards labelling certain behaviours as having certain [medical] conditions attached to them, where actually work is the answer or part of the answer,” Mr. Stride said.

He added, “What we’ve got to avoid is being in a situation where for those people we too readily say, ‘well, actually, we need you to be on benefits.'”

‘Reckless Assault’ on Disabled People

The executive director of strategy at disability charity Scope called the proposals a “reckless assault” on disabled people.

James Taylor said, “It’s hard to have any faith that this consultation is about anything other than cutting the benefits bill, no matter the impact.”

“Life costs a lot more for disabled people, including people with mental health conditions,“ Mr. Taylor continued. ”Threatening to take away the low amount of income PIP provides won’t solve the country’s problems.”

“The government needs to end this reckless assault on disabled people and focus on how to fix the real underlying issues,” he added.

Labour’s shadow work and pensions secretary Alison McGovern said the PIP system introduced by the Conservative Party “isn’t working for disabled people and isn’t working for the taxpayer.”

“We want to see a system that allows disabled people to live independently and enable as many as possible to work,” Ms. McGovern said, stating that Labour’s plans to “get Britain working” would “drive down NHS waiting lists, reform social security and make work pay.”

PA Media contributed to this report.