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benefits

Published 14 May 2025

4 min read

Personal independence payments review begins

The government has started a review of personal independence payments (PIP) as it seeks to press ahead with welfare reforms.

Personal independence payments review begins
James Glynn - Money Wellness

Written by: James Glynn

Senior financial content writer

Published: 14 May 2025

Earlier this year, ministers confirmed that eligibility criteria for PIP would be tightened.

Under the new system, from November 2026, people will have to score a minimum of four points in at least one activity to qualify for the daily living part of PIP.  

This only relates to the daily living part and won’t affect the mobility part of PIP. 

The government is keen to hear the views of people affected by the changes, so their views can help shape what they look like.

A consultation has already launched, and social security minister Sir Stephen Timms is meeting with stakeholders this week to discuss what the review will cover and how it will work.

What are personal independence payments?

PIP provides help with extra living costs if you have both:

  • a disability or long-term physical or mental health condition
  • trouble getting about or doing certain everyday tasks because of your disability or condition 

There are two parts to PIP:

  • money to help with everyday tasks - this is known as the daily living part
  • money to help you get around - this is known as the mobility part

Read our guide to find out more about you can claim PIP and what the assessment process involves.

Government acknowledges ‘anxiety’ over welfare reforms

Work and pensions secretary Liz Kendall said she understands that people feel “anxious” when welfare reforms are being discussed.

However, she said the government wants to make sure PIP is “fair for people who need it now and into the future”.

“It is more than a decade since PIP was introduced, and there have been changes in the prevalence of disability, in the nature of long-term conditions, in wider society and in the workplace too,” Ms Kendall commented.

“We have also seen a real increase in recent years in the numbers of younger people and those with mental health conditions, so it is right that we now have a review of the PIP assessment process.”

Ms Kendall acknowledged that making changes to PIP is a “highly sensitive issue”.

This, she said, is why disabled people and the organisations that represent them are being invited to share their views.

“If people can never work, we want to protect them,” Ms Kendall added.

“If people can work, we want to support them.”

What other welfare reforms have the government announced?

The planned PIP reforms were announced earlier this year along with other planned changes to the welfare system, including:

  • freezing the health element of universal credit at £97 a week until 2029-30
  • reducing the universal credit health element by £47 a week for new claimants
  • scrapping the work capability assessment in 2028
  • reducing incapacity benefits for people under 22 

Why is the government reforming the benefits system? 

The government is aiming to reduce the welfare budget by £5bn by 2030.  

According to DWP: 

  • one in 10 people of working age currently claim a sickness or disability benefit
  • nearly 1 million young people aren’t in education, employment or training
  • 2.8 million aren’t in work because of long-term sickness  

The number of people claiming PIP is a particular concern to ministers, as this is expected to double this decade from 2m to 4.3m.

Since the pandemic, the number of working-age people receiving PIP has risen from 15,300 to 35,100 a month. 

Meanwhile, the number of 16 to 24-year-olds receiving PIP has gone up from 2,967 to 7,857 a month.

The government believes this is “becoming unsustainable” and could end up costing more than £34bn a year.

James Glynn - Money Wellness

Written by: James Glynn

Senior financial content writer

James has spent almost 20 years writing news articles, guides and features, with a strong focus on the legal and financial services sectors.

Published: 14 May 2025

The information in this post was correct at the time of publishing. Please check when it was written, as information can go out of date over time.

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James Glynn - Money Wellness

Written by: James Glynn

Senior financial content writer

Published: 14 May 2025

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