{"id":105718,"date":"2025-03-09T10:25:00","date_gmt":"2025-03-09T10:25:00","guid":{"rendered":"https:\/\/en.econostrum.info\/uk\/?p=105718"},"modified":"2025-03-09T12:14:15","modified_gmt":"2025-03-09T12:14:15","slug":"dwp-disability-benefit-reforms","status":"publish","type":"post","link":"https:\/\/en.econostrum.info\/uk\/dwp-disability-benefit-reforms\/","title":{"rendered":"DWP Urged to Rethink Disability Benefit Reforms Amid Eligibility Concerns"},"content":{"rendered":"\n<p>The UK government has been urged to reconsider its approach to welfare reform, as experts warn that restricting eligibility for <strong>disability and sickness <\/strong>benefits could disproportionately impact vulnerable claimants.&nbsp;<\/p>\n\n\n\n<p>According to the Resolution Foundation, proposed cuts would not only place additional financial strain on those who rely on support but also deliver relatively small savings in the long term.<\/p>\n\n\n\n<p>With <strong>welfare <\/strong>spending under increasing scrutiny, ministers are exploring ways to curb rising costs. However, past attempts to tighten eligibility have been met with legal challenges and public criticism.&nbsp;<\/p>\n\n\n\n<p>The think tank suggests that instead of reducing access to benefits, the government should focus on restructuring payments to create a fairer system that balances financial sustainability with adequate support for those unable to work.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Pressure on the DWP to Rethink Benefit Reforms<\/h2>\n\n\n\n<p>The <strong>Department for Work and Pensions<\/strong> (DWP) has been under pressure to reform <a href=\"https:\/\/en.econostrum.info\/uk\/uk-boosts-universal-credit-working-parents\/\" data-type=\"post\" data-id=\"104002\">Universal Credit<\/a> (UC) and other disability-related benefits, with concerns over rising costs driving policy discussions. However, the Resolution Foundation argues that restricting eligibility should not be the primary focus of these reforms.<\/p>\n\n\n\n<p>According to the report, the previous government\u2019s attempt to modify Universal Credit\u2019s Work Capability Assessment (<a href=\"https:\/\/www.gov.uk\/health-conditions-disability-universal-credit\/after-assessment\" target=\"_blank\" rel=\"noopener\">WCA<\/a>) in autumn 2023 was deemed unlawful earlier this year.\u00a0<\/p>\n\n\n\n<p>This raises concerns about the feasibility of similar reforms. The think tank highlights that freezing health-related support payments <strong>between 2025-26 <\/strong>and 2029-30 could save around \u00a31 billion per year, without requiring the government to cut eligibility or remove essential support for claimants.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">The Financial Impact of Benefit Cuts<\/h2>\n\n\n\n<p>One of the key concerns raised in the report is the large gap between basic and health-related Universal Credit payments. A single adult\u2019s basic support currently stands at \u00a3393 per month, while those eligible for health-related support receive<strong> \u00a3810 per month<\/strong>\u2014a significant increase that more than doubles the base rate.<\/p>\n\n\n\n<p>The Resolution Foundation warns that this gap creates a strong incentive for claimants to apply for health-related benefits, even when alternative support might be more appropriate. Instead of restricting access, the report suggests redistributing funds across <strong>different levels <\/strong>of support to ensure fairer distribution.&nbsp;<\/p>\n\n\n\n<p>This, it argues, would allow the government to manage <a href=\"https:\/\/en.econostrum.info\/uk\/the-risks-in-uk-employment-rising-costs\/\" data-type=\"post\" data-id=\"104424\">costs<\/a> without severely impacting those in need.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">The challenge of reducing benefit dependency<\/h2>\n\n\n\n<p>Beyond cost-cutting measures, the report highlights long-term issues in moving people off incapacity and disability <a href=\"https:\/\/en.econostrum.info\/uk\/uk-government-dwp-benefits-crackdown-march\/\" data-type=\"post\" data-id=\"103207\">benefits<\/a>. It points to the UK\u2019s <strong>poor track record in supporting individuals<\/strong> to transition from benefits into employment, arguing that reforms should focus on improving support services rather than restricting access to financial aid.<\/p>\n\n\n\n<p>The <strong>Institute for Fiscal Studies<\/strong> (IFS) has also criticised the government\u2019s fiscal approach, warning that frequent policy adjustments in response to short-term economic forecasts create instability. It calls for a more measured, long-term strategy that prioritises financial sustainability without making drastic cuts to welfare spending.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The DWP is facing pressure over plans to reform disability benefits, with a leading think tank cautioning against cutting eligibility. A new report suggests that restricting access could cause financial hardship while delivering minimal savings. Instead, experts recommend redistributing payments to manage costs more effectively.<\/p>\n","protected":false},"author":10,"featured_media":105723,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[46],"tags":[],"class_list":["post-105718","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-social-welfare","generate-columns","tablet-grid-50","mobile-grid-100","grid-parent","grid-33","no-featured-image-padding"],"_links":{"self":[{"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/posts\/105718","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/comments?post=105718"}],"version-history":[{"count":1,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/posts\/105718\/revisions"}],"predecessor-version":[{"id":105724,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/posts\/105718\/revisions\/105724"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/media\/105723"}],"wp:attachment":[{"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/media?parent=105718"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/categories?post=105718"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/tags?post=105718"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}