Yahoo News DWP PIP claims to stop for thousands of people under tough new eligibility rules
The Government could stop paying PIP to more than a million people under new reforms to cut the nation's benefits bill. Those who are awarded Personal Independence Payment receive up to £9,500 a year - almost £800 a month - in tax-free support if on the maximum level of entitlement and can choose to exchange part of that for a new car from the Motability scheme.
Most people get PIP for mental health conditions and the number claiming for this reason has doubled in five years. In a new speech on welfare reforms, Rishi Sunak says the Government wants to tighten up the rules on who gets PIP.
More medical evidence will be required to stop people scamming the system and those with mental health issues could be offered counselling and other therapies instead, except in the most severe cases. Others who have mobility issues would be provided with a stairlift or handrails rather than regular monthly payments.
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The latest figures from January 2024 show that the majority (38 per cent) of the 3.5 million PIP claims across the UK are for psychiatric disorders. There are 1,318,073 people in this medical category who have been awarded the benefit, a rise of around 100,000 on the same point in the previous year. Most claim the payments for anxiety and depression, with others listed as having learning disabilities, autism, schizophrenia, bipolar disorder, and ADHD.
Mr Sunak said: "We now spend £69billion on benefits for people of working age with a disability or health condition. That's more than our entire schools budget; more than our transport budget; more than our policing. And spending on Personal Independence Payment alone is forecast to increase by more than 50 per cent over the next four years.
"That's not right; it's not sustainable and it's not fair on the taxpayers who fund it. So in the next Parliament, a Conservative government will significantly reform and control welfare."
He explained: "We need to match the support people need to the actual conditions they have. And help people live independently and remove the barriers they face. But we need to look again at how we do this through Personal Independence Payments. I worry about it being misused.
"Now its purpose is to contribute to the extra costs people face as they go about their daily lives. Take, for example, those who need money for aids or assistance with things like handrails or stairlifts. Often they're already available at low cost, or free from the NHS or Local Authorities. And they're one-off costs so it probably isn't right that we're paying an ongoing amount every year.
"We also need to look specifically at the way Personal Independence Payment supports those with mental health conditions. Since 2019, the number of people claiming PIP citing anxiety or depression as their main condition, has doubled with over 5,000 new awards on average every single month.
"But for all the challenges they face, it is not clear they have the same degree of increased living costs as those with physical conditions. And the whole system is undermined by the way people are asked to make subjective and unverifiable claims about their capability.
"So in the coming days, we will publish a consultation on how we move away from that to a more objective and rigorous approach that focuses support on those with the greatest needs and extra costs. We will do that by being more precise about the type and severity of mental health conditions that should be eligible for PIP.
"We'll consider linking that assessment more closely to a person's actual condition and requiring greater medical evidence to substantiate a claim. All of which will make the system fairer and harder to exploit.
"And we'll also consider whether some people with mental health conditions should get PIP in the same way through cash transfers or whether they’d be better supported to lead happier, healthier and more independent lives through access to treatment like talking therapies or respite care."
He concluded: "I want to be completely clear about what I'm saying here. This is not about making the welfare system less generous to people who face very real extra costs from mental health conditions.
"For those with the greatest needs, we want to make it easier to access with fewer requirements. And beyond the welfare system, we’re delivering the largest expansion in mental health services in a generation with almost £5 billion of extra funding over the past 5 years, and a near doubling of mental health training places. But our overall approach is about saying that people with less severe mental health condition should be expected to engage with the world of work."
Disability charity Scope described the extent of the proposed changes to PIP as unexpected while the Resolution Foundation warned that any major reform will affect those with physical disabilities too.
James Taylor, director of strategy at Scope said: "This feels like a full-on assault on disabled people. These proposals are dangerous and risk leaving disabled people destitute. In a cost of living crisis looking to slash disabled people’s income by hitting PIP is a horrific proposal.
"Calls are pouring into our helpline from concerned disabled people. Life costs more for disabled people. Threatening to take away the low amount of income PIP provides to disabled people who face £950 a month extra costs isn't going to solve the problem of economic inactivity.
"Sanctions and ending claims will only heap more misery on people at the sharp end of our cost of living crisis. Much of the current record levels of inactivity are because our public services are crumbling, the quality of jobs is poor and the rate of poverty amongst disabled households is growing."
The Resolution Foundation said: "While the Prime Minister made the case for reform on the basis of rising numbers of people with mental ill-health claiming benefits, any major reforms will also impact those with physical disabilities too. That's because those whose primary health condition is physical currently account for the majority – 62 per cent – of PIP claimants in England and Wales."
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