The Department for Work and Pensions (DWP) has sidestepped questions about the potential introduction of vouchers as a replacement for Personal Independence Payment (PIP) cash benefits. This idea was initially presented by the Conservatives in a consultation paper last year.
Liberal Democrat MP Edward Morello recently submitted four written questions on PIP reforms, but received identical responses from Minister for Social Security and Disabilities Sir Stephen Timms. Morello’s inquiries were related to the upcoming DWP Green Paper, scheduled for release before the Spring Statement in March.
However, when asked about assessing the “potential impact of replacing Personal Independence Payment cash payments with vouchers on claimants’ autonomy and financial management”, Sir Stephen failed to provide a direct response.
Morello also sought clarification from the DWP on several other points:
- The potential impact of the proposed changes to PIP on disabled individuals’ ability to manage their financial independence
- What steps the DWP is taking to ensure that any proposed changes to PIP do not lead to financial hardship or reduced quality of life for recipients
- What Steps the DWP is taking to consult with disability advocacy groups on the proposed changes to PIP, including any changes to payment methods
Sir Stephen, however, did not directly address these inquiries.
Instead, he provided a written statement asserting: “This Government is committed to putting the views and voices of disabled people at the heart of all that we do.
“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 support disabled people to live independently. It is also vital to ensure that the system is financially sustainable in the long term.”
Sir Stephen concluded by saying: “We are working to develop proposals for reform in the months ahead and will set them out in a Green Paper ahead of the Spring Statement later this year.”
In June 2024, the then-ruling Conservative government unveiled plans for welfare reform in a document titled ‘Modernising support for independent living: the health and disability green paper’. The proposal aimed to shave off £12 billion annually from the welfare budget until 2030.
The proposed changes included replacing cash PIP payments, which could amount to up to £737.20 every four weeks, with alternative forms of support such as vouchers, one-off grants, a receipt-based scheme or selection of support aids from a catalogue. However, these plans were discarded after Labour clinched victory in the general election on July 4.
Despite this, the Department for Work and Pensions (DWP) still intends to overhaul the health and disability benefits system. It has pledged to collaborate with disability groups and organisations and will publish a consultation on the proposed changes.
