MPs urge government to delay universal credit reforms

Disabled people could be pushed into poverty by planned changes to universal credit, the Work and Pensions Committee has warned.

As part of a wider package of welfare reforms, the government plans to increase universal credit standard allowance above inflation for the next four years.

This will be worth an estimated £725 by 2029/30 for a single adult aged 25 or above.

But new claimants assessed as having limited capability for work and work-related activity will see their awards halved from £423.27 to £217.26 a month.

The Work and Pensions Committee has urged the government to delay the planned changes to the health element of universal credit until “the full impact of the changes are better understood”.

Welfare concessions welcome, but issues remain, say MPs

Last month, the government confirmed it would scale back its planned welfare reforms, so existing claimants don’t lose their benefits.

Debbie Abrahams, chair of the committee, said: “We welcome the concessions that the government made.

“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.” 

Ms Abrahams said cuts to the universal credit health premium should be delayed, partly because other policies such as extra NHS capacity or employment support 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,” she added.