Overview

• From April 2026, new Universal Credit claimants assessed as having limited capability for work will receive a health element of £217.26 per month instead of £423.27.
• The reforms fully safeguard existing claimants and those with severe or terminal health conditions from any reduction in their health element.
• Personal Independence Payment eligibility reforms have been dropped in favour of a co-produced review led by Sir Stephen Timms.
• The Work and Pensions Committee warns that the health element cut could push roughly 50,000 people into poverty by 2030 and is urging an independent impact assessment before implementation.
• Anti-poverty charity Z2K has identified six conditions — including schizophrenia, dementia and multiple sclerosis — that could lose approximately £3,000 annually under the tightened criteria.