The Department for Work and Pensions (DWP) has announced that two specific groups will be exempt from upcoming reductions to Universal Credit benefits. These changes, slated for April 2026, will affect many claimants, but individuals with severe and terminal conditions will be shielded from the cuts.
The announcement is a crucial development for Universal Credit claimants, particularly those who rely on the disability element of the benefit to support their ability to work and live.
While the standard allowance of Universal Credit will rise more than inflation would suggest, the DWP is making significant modifications to the incapacity top-up for those deemed to have limited capability for work and work-related activities (LCWRA).
These changes are expected to impact thousands of individuals across the UK, but the DWP’s latest clarification offers some hope to those with the most severe health conditions.
Key Changes to Universal Credit for Disability Claimants
According to the DWP, from April 2026, those who are newly categorised as having limited capability for work and work-related activity (LCWRA) will receive a reduced top-up.
The amount will be lowered to £217.26 per month, down from the current £423.27, and this will remain frozen for five years. This adjustment is part of a broader overhaul of the Universal Credit system designed to streamline assessments for those with illnesses or disabilities.
However, the DWP has confirmed that individuals who fall under specific categories, namely the Severe Conditions Criteria (SCC) and Special Rules for End of Life (SREL), will still receive the full rate of £423.27.
This decision is part of a new framework, where these claimants will be protected from the upcoming cuts, ensuring parity with existing claimants who are already receiving the higher rate of support.
The DWP’s move to apply these criteria to the new claims suggests a focus on those with the most severe and lifelong conditions.
For example, individuals with conditions that are expected to last for the rest of their life, without any prospect of recovery, will continue to receive the full rate. This will provide vital support for those unable to work due to their health.
Impact of the Changes on Vulnerable Claimants
These changes to Universal Credit are expected to have a substantial impact on claimants, particularly those with conditions like severe disabilities or terminal illnesses.
By removing the need for work capability assessments for these groups, the DWP is attempting to reduce bureaucracy while ensuring that those with the most critical health conditions are not left without vital financial support.
However, concerns remain over the requirement for healthcare professionals to confirm diagnoses. As campaigners point out, many people with conditions such as ADHD or autism may face delays in receiving a diagnosis through the NHS and may opt for private assessments instead.
Under the new system, the DWP has stated that it will only accept diagnoses from NHS professionals, potentially leaving many claimants without the support they need.