The government is expected to drop plans to prevent people aged under 22 from receiving the health-related element of Universal Credit, following opposition from Labour MPs and disability charities. Ministers are instead expected to focus on employment support for younger people after a review of youth unemployment.
Government Shifts Focus to Employment Support
Welfare Secretary Pat McFadden is expected to develop a new package aimed at helping people under 25 move into work. The change follows a review by jobs adviser Alan Milburn, who has been examining youth unemployment and ways to support younger people into employment.
The government had previously said it would reconsider restrictions on incapacity benefit claims after the review was published.
Around 66,000 Young Adults Currently Receive the Payment
Around 66,000 people aged 18 to 21 currently receive the health-related Universal Credit payment. The additional support can be worth up to £430 a month for people assessed as being unable to work because of a health condition or disability.
The proposed restriction would have prevented younger claimants from receiving the payment under the same rules as older recipients. That plan faced criticism from disability charities and opposition from Labour MPs.
Disability Groups Criticised the Original Proposal
Disability charities described the proposed restrictions as “dangerous” and raised concerns about the effect on young people with health conditions. The Commons Work and Pensions Committee also questioned the evidence behind treating younger claimants differently.
The committee said ministers had “not produced evidence to justify a different approach for young people”, reports The Sun. The political backlash contributed to the government revisiting the proposal.
Youth Guarantee Is Part of Wider Welfare Plans
Labour has said its wider welfare reforms are intended to help people who are out of work move towards employment. The government has committed £2.5 billion to a Youth Guarantee aimed at giving young people greater access to employment, training and other support.
A new package for under-25s could form part of this wider approach. The shift would mean focusing on routes into employment rather than removing health-related financial support from younger claimants.
Welfare Spending Remains Under Scrutiny
The changes come as the government faces pressure over the rising cost of welfare. Around £145 billion is currently spent on Universal Credit, according to the figures cited, while disability support accounts for a further £77 billion.
Ministers have been looking at ways to reduce welfare spending while helping more people with health conditions and disabilities enter work where possible. The government has also faced pressure to balance welfare spending against other public spending priorities, including defence.
Final Plans Depend on the Government Review
The Department for Work and Pensions has said it recognises the need to go further on youth employment and commissioned Milburn’s review. A DWP spokesman said: “We recognise the need to go further, which is why we commissioned Alan Milburn’s report.”
The proposed under-22 restriction has not been confirmed as a final government policy change. The expected shift towards employment support means the government is now considering a different approach to younger people claiming health-related Universal Credit, with further details expected after the review and the Budget.
