Major Changes to PIP and Universal Credit Announced: Key Dates for Cuts Revealed

The Government’s proposed changes to PIP and Universal Credit will significantly affect millions of disability benefit claimants.

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Major Changes to PIP and Universal Credit Announced: Key Dates for Cuts Revealed | en.Econostrum.info - United Kingdom

The Government has unveiled contentious plans to slash disability benefits in a bid to save billions of pounds. These proposed changes will make it more difficult for claimants to access Personal Independence Payments (PIP), with some current recipients facing reassessments that could result in the loss of payments. Additionally, the Universal Credit amount for those with health conditions or disabilities will be frozen for existing claimants and nearly halved for new applicants. This freeze represents a real-terms reduction in payments as inflation and costs related to conditions rise. As Cambridge News reports, this has sparked outrage, particularly from disability groups. The changes have been announced, but will not take effect immediately.

Key Changes to PIP

The planned alterations to PIP will make it harder for individuals to qualify for the daily living component, which helps cover expenses related to a disability and performing everyday tasks. However, the mobility component of PIP will remain unaffected. These changes have caused significant concern, especially since they could impact the financial stability of those who rely on these payments for basic needs. The reduction in the availability of PIP is expected to leave many claimants uncertain about their future financial support. Disability groups have voiced their anger at the cuts, warning that they will disproportionately affect the most vulnerable members of society. These changes to PIP are set to take effect in November 2026.

Universal Credit Cuts and Impact

The Universal Credit changes will freeze the additional amounts for those with health conditions or disabilities until 2029/30 for existing claimants. New applicants will face nearly halved amounts, which critics argue will exacerbate financial difficulties. This freeze will result in a real-terms reduction as the cost of living continues to rise. The Department for Work and Pensions (DWP) has justified the cuts as necessary for reducing government spending, but the long-term effects on disabled individuals and those with health conditions remain uncertain.

Meanwhile, there is some relief for claimants as the PIP rate will increase this week, with the daily living component rising to a maximum of £110.40 and the mobility component reaching £77.05. This increase may provide temporary financial relief, but the upcoming cuts loom large for many disabled individuals who depend on these benefits for their livelihoods.



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