The DWP has confirmed key payment changes that will affect people on disability benefits such as Personal Independence Payment (PIP) and Disability Living Allowance (DLA) this month
Ahead of spring reforms, PIP and DLA claimants are set to experience changes in their December payments.
Those receiving disability benefits such as Personal Independence Payment and Disability Living Allowance will notice two key differences. This comes amidst fresh uncertainties over a potential clampdown on disability benefits, including the incapacity payments available on top of Universal Credit for those with ‘limited capability for work’.
The DWP has already revealed its Get Britain Working white paper, which will be followed by a revamp of health and disability benefits announced in spring 2025. A new Channel 4 documentary, Britain’s Benefits Scandal, has sparked a renewed debate on how Labour should address the rising number of people living on sickness benefits with no incentive to return to work.
Meanwhile, an increase in benefits in line with inflation has been confirmed for next April, as well as changes to when payments will be paid in December. Firstly, those on PIP, DLA and several other benefits are due to receive the annual £10 Christmas bonus this week.
It may show up separately in your account with the code DWP XB alongside it or you could simply get £10 added to your next benefit payment. This may have already been paid to those who receive Carer’s Allowance. The bonus was introduced in 1972 and there are ongoing calls for it to be increased – if it had risen in line with inflation, it would now be more than £115.
The second alteration will see payment dates shuffled around during the festive period due to bank holidays. This year Christmas Day falls on Wednesday and Boxing Day on Thursday, so any payments due on these bank holidays are set to be processed on the previous working day, which is Christmas Eve – Tuesday, 24 December.
Furthermore, any payments scheduled for New Year’s Day, Wednesday, 1 January, will be paid on Tuesday 31 December, instead. Despite confirmation of new payment increases for next April, a significant revamp is on the horizon. Labour has confirmed its intention to shift the focus of all disability and incapacity benefits towards employment.
Among the proposed changes, it has already announced plans to reform the work capability assessment used to determine if someone is exempt from seeking employment due to a health condition or disability, and instead receives an additional £416 a month on top of their Universal Credit. It is anticipated that these sickness payments for ‘limited capability for work’ would be completely abolished, as previously suggested by the Conservatives.
Labour’s new white paper ‘Get Britain Working’ signals a significant overhaul ahead, as it pledges: “We are committed to reforming the system of health and disability benefits so that it promotes and enables employment among as many people as possible. The system must also work to reduce poverty for disabled people and those with health conditions and support disabled people to live independently. It is also vital to ensure that the system is financially sustainable in the long term.”
Continuing their commitment to collaboration, Labour states: “So, alongside our Get Britain Working white paper, we want to engage with disabled people, and others with expertise and experience on these issues, to consider how to address these challenges and build a better system. We will be working to develop proposals for long-term reform in the months ahead and will set them out for further consultation and engagement in a Green Paper in spring 2025.”
Ensuring inclusivity, they emphasise: “This government is committed to putting the views and voices of disabled people at the heart of all that we do, so we will fully consult on these proposals with disabled people and representative organisations.”
