The UK government’s recent announcement regarding changes to the Personal Independence Payment (PIP) system has sparked concern. An estimated one million people could lose their entitlement, with the changes aimed at saving around £5 billion.
Manchester Evening News reports that these adjustments, part of broader welfare reforms, will likely affect many individuals.
The Resolution Foundation, a think tank focused on low- to middle-income families, has predicted the potential impact of these modifications, though specifics remain unclear at this stage.
Significant Changes to PIP Eligibility Criteria
PIP is designed to assist people with disabilities or long-term illnesses in covering additional living costs. The government’s recent announcement includes changes to the eligibility criteria, which will make it harder for some individuals to qualify for the benefit.
Claimants will now need to achieve a minimum of four points in at least one of the daily living activities to qualify for the daily living component of PIP, a change from the previous requirement of eight points across all activities.
Existing claimants will not be immediately affected, but they will be reassessed at their next review. As a result, those with lower needs may lose entitlement to PIP or face reduced payments during the review process.
The government’s primary cost-saving measure focuses on narrowing the qualification criteria, particularly targeting those with lower needs who currently qualify for the benefit. This adjustment aims to save money by reducing the number of individuals eligible for PIP.
Government Response and Concerns Raised
The government justifies these changes as necessary to reduce the growing costs of welfare. Sir Stephen Timms, the social security minister, explained that while the cost of PIP would still rise, it would be at a slower pace with these changes in place.
He stated, “nothing like as fast as if we didn’t act,” emphasising the importance of ensuring the long-term sustainability of the benefit system.
However, there have been calls for more transparency regarding the changes. Ruth Curtice, Chief Executive of the Resolution Foundation, noted,
The Government haven’t given us a number for how many will be affected, and because they’ve made quite a detailed change to the system, we can’t tell exactly who will be affected. I think it would have been good if the Government had told us yesterday, but given what they’ve told us about how much they’re planning, the Resolution Foundation estimate it’s around a million people who are losing their entitlement to PIP completely.
She further explained,
The Government’s made significant changes in all of those areas, but most of the savings we understand are coming from changes to who qualifies. You can think of £5 billion as small or large, depending on your perspective – getting those from a million individuals means that for those individuals, it’s really significant income loss.
In response to questions about the impact on individuals with anxiety, Timms clarified that such conditions could still make individuals eligible for PIP if the effect on their well-being is significant. He explained,
No, it depends what the effect of the condition is on people’s wellbeing, and the indicators are all published and set out. So if you have difficulties doing certain things, then you get points on the PIP assessment. And the number of points you get determine how much PIP you get.
Potential Support for Those Affected
As part of the government’s ongoing discussions about the changes, they have also indicated a possible extension of Disability Living Allowance (DLA) for parents who lose a child after having given up work to care for them.
Sir Stephen Timms confirmed that the government is considering this extension, which would provide financial support to parents in the difficult period following a child’s death. He explained,
One thing we are looking at is, and we’re taking legal advice about this at the moment, the possibility of extending Disability Living Allowance for children, the benefit that’s paid when children are very unwell, for a period after the child’s death. Just to support parents during what otherwise (is) obviously a terribly, terribly difficult time, but also a financially difficult time for them. That’s a possibility that we are looking at at the moment.
The government has stated that they are mindful of the impact that these changes could have on claimants and that they are considering ways to support those who lose entitlement to PIP.
This could include providing transitional protection for individuals who no longer qualify for the benefit and are at risk of losing other benefits tied to PIP.