The Department for Work and Pensions (DWP) is providing a weekly payment of £114.60 to approximately 200,000 households with an annual income exceeding £100,000. These households are receiving Personal Independence Payments (PIP), a disability benefit designed to cover extra costs associated with health conditions.
Rise in Middle-Class Claimants
Data reveals that the number of so-called middle-class households claiming PIP has doubled. In 2024-25, an estimated 197,000 households with a gross annual income above £104,000 were in receipt of the benefit. This marks a significant increase from 98,000 in 2021-22. Out of the 4 million total PIP claimants, the TaxPayers' Alliance highlighted the growing proportion of high-income recipients in their submission to the Timms review.
PIP Payment Structure
PIP consists of two components: daily living and mobility. The enhanced daily living component is worth £114.60 per week, while the standard rate is £76. The mobility component ranges from £30 to £80 per week. The benefit is intended to help individuals with disabilities or long-term health conditions manage additional expenses.
Calls for Means-Testing
Shimeon Lee, a policy analyst at the TaxPayers' Alliance, expressed concern: “Taxpayers will be stunned to learn that nearly 200,000 high-income households claim Pip. The surge in the number of these households since 2021-22 has coincided with the soaring cost of disability benefits.” He argued that the government must introduce means-testing to ensure the system remains sustainable for those who need it most. The Alliance's submission stated: “The argument that Pip enables people to work and that means-testing would prevent this simply does not apply at the highest levels of income. It is highly unlikely that the loss of Pip would make it impossible for a disabled person with a household income over £100,000 a year to work.”
Government Response
A DWP spokesman defended the current system: “Pip is not handed out freely – it requires a thorough assessment of how a disability or health condition impacts daily life and is specifically designed to help people meet the extra costs that come with it. However, we inherited a broken welfare system, and we are getting on with fixing it – our reforms will save the UK taxpayer £1.9bn over the Parliament, while the Timms review is looking at how to make Pip fit and fair for the future.”
