The Work and Pensions committee is calling for the cut to be delayed and wants the government to look elsewhere
The Work and Pensions Committee has issued a fresh call for planned cuts to Universal Credit to be delayed. The Committee is particularly concerned about how people with serious mental health conditions will be safeguarded from the changes, which have been voted through Parliament in the Universal Credit and Personal Independence Payments Bill.
The changes are meant to come into force for all new claimants from next April and include halving the health element from £423.27 to £217.26 per month, except for those who fall under the severe conditions criteria. It will also make people under the age of 22 no longer eligible for the health element at all.
The Committee raised concerns that people with serious mental health conditions may not be included in the severe conditions criteria group, as well as those with serious but fluctuating conditions.
MPs also posed a question directly to the Secretary of State asking why an assessment of safeguarding risks had not been conducted before the Green Paper was published.
Its latest report declared urged the government to delay the changes.
It said: “We remain critical, however, of the Government’s failure to properly assess the impact of the cut to UC health on poverty, health and labour force participation. For this reason, we urge it to delay the measure until it has had time to make such an assessment.”
The health element changes are intended to nudge people back into the workforce.
But MPs in the Committee have raised concerns that these changes will push disabled people into poverty instead. 50,000 people are still at risk even after major concessions were made to the Bill to protect disabled people.
As a result, the Committee is urging the government to delay the changes and look elsewhere first to achieve their goal. Such as implementing employment support for disabled people first.
Committee chairperson Debbie Abrahams said, “We welcome the concessions that the Government made to the UC and PIP Bill (now the UC Bill), but there are still issues with these welfare reforms, not least with the cut in financial support that newly sick and disabled people will receive.
“The Government’s own analysis published in March indicates that from next April approximately 50,000 people who develop a health condition or become disabled – and those who live with them – will enter poverty by 2030 as a result of the reduction in support of the UC health premium.
“We recommend delaying the cuts to the UC-health premium, especially given that other policies that such as additional NHS capacity, or employment support, or changes in the labour market to support people to stay in work, have yet to materialise.
“We agree in a reformed and sustainable welfare system, but we must ensure that the wellbeing of those who come into contact with it is protected.
“The lesson learned from last month should be that the impact of policy changes to health-related benefits must be assessed prior to policy changes being implemented to avoid potential risks to claimants.”
Abrahams was among the MPs who voted in favour of the welfare Bill during its third reading after the major concessions had been added in. Among these concessions was a complete scrap to the proposed Personal Independence Payment changes.
