Pat McFadden has been reappointed as Department for Work and Pensions (DWP) minister by new Prime Minister Andy Burnham, signalling a potential overhaul of welfare payments. The government is considering alternatives to cash benefits for Personal Independence Payment (PIP) claimants, with a focus on reducing the welfare bill while improving outcomes.
Four Alternatives Under Consideration
According to reports by The I paper, the alternatives being deliberated include therapy, employment support, specialised equipment, and NHS treatment. These options aim to move away from simply writing cheques and toward helping people live fuller lives.
McFadden told The Guardian: “I don’t believe government fulfils its responsibilities simply by writing a cheque. I think we owe people more than that. Of course, for people who can never work, the system must always be there for them... But for those who could work, or could change their situation, then we’ve got to help them do that.”
Welfare Reforms and Reviews
The changes come as the Milburn Review and Timms Review explore reforms to PIP and Universal Credit. The Timms Review has already filed an interim report, suggesting alternatives to cash payments will be mulled over. Sir Stephen Timms, leading the review, told MPs the government would not be “moving away” from providing cash to disabled people for extra living costs, but declared PIP was “not fit for purpose,” with applicants describing the process as “dehumanising.”
McFadden emphasised the need for investment in support: “In the past, people have been signed off [on benefits] and written off. That has – as we’ve heard from this morning’s group – often led to people feeling isolated, depressed, their condition becoming worse, not better.”
Education and Employment Links
To address the NEET crisis, the government will introduce changes to education, providing 14-year-olds with better links to employment and jobs. McFadden said: “Even before they’ve reported, I’m already speaking to the Department for Education [and] the Department for Health. We’re going to have to respond to this as a government.” He added: “It’s my job to put together a plan, a proposal, [that] changes the question of the welfare state from simply asking, ‘what benefits are you entitled to?’, to asking, ‘how can we help you live the fullest life?’”
The reappointment of McFadden and the ongoing reviews signal a concerted effort by the Burnham government to tackle the rising welfare bill while ensuring support for those who need it most.
