Households claiming Personal Independence Payments (PIP) have been told that welfare reforms, including potential cuts to the benefit, are now expected to be delayed until 2027. The announcement follows the conclusion of the Timms Review, which has described the current PIP system as "not fit for purpose".
PIP, the UK's main disability benefit, is currently under review, with recommendations for its future to be put forward to Andy Burnham's Government over the coming months. The review is expected to propose scaling back support for certain conditions, including mental health-related conditions such as depression and anxiety.
Reforms pushed back to 2027
According to The i Paper, changes to PIP and wider welfare reform will now be put off until next year, giving households longer to prepare but also extending the period of uncertainty about what the future will look like. Benefit reform is one of the major issues facing Burnham over the coming months, and he is likely to come under pressure from all angles on the issue.
The Timms Review, tasked with proposing a future for PIP that gets the benefit bill down, has already concluded that the current system is "not fit for purpose". Costs have ballooned over recent years, largely linked to mental health-related claims among young adults.
Rising costs and mental health claims
Critics say it has become too easy for people to claim PIP, which is currently worth up to £194 a week to support people with conditions and disabilities and associated costs. The amount will rise again from next April as part of annual inflation-linked increases.
The interim Timms report suggested that conditions like anxiety or depression may no longer qualify, or that it would become harder for people with these complaints to meet the threshold. The document pointed specifically to these sorts of claims becoming a major expense. Total claims for these conditions have more than doubled over the last six years, resulting in a ballooning disability benefits bill. The total was around 700,000 in 2019, surging to around 1.5 million now.
Impact on claimants
While the delay gives households more time to prepare, it also increases the uncertainty about the future of PIP. The review's recommendations, once implemented, could significantly affect those claiming for mental health conditions. Claimants are advised to stay informed as the government considers the next steps.
