People who need help as a result of a long-term health condition are paid up to £737.20 every four weeks
The DWP could announce sweeping reforms to PIP (Personal Independence Payment) eligibility to cut the benefits bill. The benefit supports people who have additional costs due to a long-term health condition, providing payments up to £737.20 each four week pay period.
Work and Pensions Secretary, Liz Kendall, is set to announce reforms to the benefit system on Tuesday (March 18) with experts wondering what this could involve. Christopher Massey, principal lecturer in British history, politics, administration and policy at Teesside University, said changes to PIP could be on the cards.
He explained: “It appears likely that the Government will press ahead with tightening the eligibility criteria for PIP, rather than freezing the overall amount paid. The Government could ‘cut’ the PIP bill by increasing the thresholds for PIP payments to begin to be paid at the standard or higher rate.”
PIP applicants are scored on how well they can carry out certain activities to determine how much extra support they need and how much they should get. There is a lower and a higher rate for both the mobility element and a daily living element.
These are the current weekly payment rates:
Mobility element
- Lower rate – £28.70
- Higher rate – £75.75
Daily living element
- Lower rate – £72.65
- Higher rate – £108.55.
Asked what reforms he would like to see for PIP, Mr Massey said: “The PIP system requires reform to achieve better outcomes for government and claimants. In particular, the assessment for PIP needs radical reform to ensure consistency with decision making.”
Speaking more broadly about what is needed to improve the benefits system, the academic said: “The system needs further investment to ensure that those categorised as long-term sick, or disabled, receive regular support and advice, particularly if their circumstances change. The Government has made some positive announcements in this area, but these have been subsumed by the headline cuts to benefits.”
There have also been rumours that PIP eligibility could be tightened for mental health conditions. Rebecca Lamb, external relations manager at Money Wellness, warned this could have major consequences.
She said: “Support like PIP is often a lifeline, helping people cover essential costs and maintain some level of independence. It’s important to remember that mental health conditions vary greatly, from anxiety to PTSD, and each affects individuals in different ways.
“Removing support for these conditions could lead to significant consequences, including a rise in financial hardship, with more people struggling to pay for basics like rent, food, and bills. It could also push many into debt.”
She called for a “holistic approach” to help people on benefits get back into work, while noting that PIP is not an ‘out of work’ benefit but rather is intended to help cover claimants’ extra costs. Ms Lamb explained: “This means not only ensuring they have access to fair and flexible job opportunities but also addressing financial barriers like debt and childcare costs.
“Tailored debt advice, budgeting support, and access to training programs can make a huge difference in building financial stability and confidence. Additionally, making sure benefits taper gradually rather than creating a sudden ‘cliff edge’ when starting work can help individuals transition smoothly without immediate financial hardship.”
