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UK Government Announces £5 Billion Welfare Reform Targeting Disability Benefits

The reforms aim to tighten eligibility for Personal Independence Payments and restructure assessments, drawing criticism from advocacy groups and Labour MPs.

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Overview

  • The government plans to save £5 billion by 2030, primarily through stricter eligibility criteria for Personal Independence Payments (PIP), starting in November 2026.
  • The Work Capability Assessment (WCA) will be abolished by 2028, with financial support determined solely through PIP assessments.
  • A 'right to try' scheme will allow disabled benefit claimants to attempt employment without losing their benefits, aiming to encourage workforce participation.
  • Up to 1.2 million disabled individuals are projected to lose thousands of pounds annually due to tightened benefit criteria, sparking widespread criticism from charities and unions.
  • The government will reinvest £1 billion of the savings into employment support programs by 2029/30, including one-to-one assistance for jobseekers.