Over 3.6 million individuals on Personal Independence Payment (PIP) could discover as early as next week if the proposed changes detailed in the ‘Modernising support for independent living: the health and disability green paper’ will be implemented by the new Labour Government. The Department for Work and Pensions (DWP) is set to hold its next oral questions session in the House of Commons on Monday, October 7, marking the first time the new ministerial team, headed by Liz Kendall, will face queries from the Opposition.
An online consultation regarding the proposed overhaul of the benefits system, which includes abolishing the Work Capability Assessment and introducing a single tier assessment approach for all benefits, garnered over 16,000 responses. Shortly after it concluded on July 22, Minister for Social Security and Disabilities, Sir Stephen Timms MP, stated that the DWP will scrutinise the responses while “considering our own approach to social security in due course”.
More recently, in a written reply to Labour MP Mary Kelly Foy’s question about whether the DWP intends to “reform or replace” the Work Capability Assessment, Sir Stephen confirmed that the government is “committed to reforming or replacing the Work Capability Assessment, alongside putting in place a proper plan to support disabled people into work”.
He further stated: “We will also give disabled people the confidence to start working without fear of an immediate benefit reassessment if it does not work out. More disabled people and those with health conditions will be supported to enter and stay in work, by devolving more power to local areas so they can shape a joined-up work, health, and skills offer that suits the needs of the people they serve.”
“These plans are central to our missions of kickstarting economic growth and breaking down barriers to opportunity.”, reports the Daily Record.
“This government is committed to championing the rights of disabled people and to the principle of working with them, so that their views and voices will be at the heart of all that we do.”
Among the proposed changes are swapping cash PIP payments of up to £737.20 every four-week payment period for a range of other support, including vouchers, one-off grants, a receipt-based scheme or choosing support aids from a catalogue.
Other proposals include amending eligibility for PIP, reviewing the assessment process and passing PIP costs on to the NHS and local authorities.
Alternatives to regular PIP cash payments.
The Green Paper explains if DWP were to consider other ways of supporting people with disabilities and long-term health conditions – apart from providing regular cash payments – it could continue to contribute to people’s extra costs through alternative models.
Alternatives to regular PIP cash payments
In exploring alternatives to the usual cash handouts of PIP, the Green Paper talks about other potential methods to assist individuals with disabilities and chronic health issues. These methods are outlined as means for maintaining contributions towards the extra expenses incurred by these individuals.
These include:
- Catalogue/ shop scheme: in this kind of scheme, there would be an approved list from which disabled people could choose items at reduced or no cost. This would likely work better for equipment and aids rather than for services.
- Voucher scheme: in this kind of scheme, disabled people could receive vouchers to contribute towards specific costs. It could work for both equipment/aids and for services.
- A receipt-based system: this would involve claimants buying aids, appliances, or services themselves, and then providing proof of their purchase to claim back a contribution towards the cost. This could work in a similar way to Access to Work, which provides grants for equipment, adaptations, and other costs to help disabled people to start and stay in work.
- One-off grants: these could contribute towards specific, significant costs such as for home adaptations or expensive equipment. It could involve a person supplying medical evidence of their condition to demonstrate the need for equipment or adaptations.
The Office for Budget Responsibility (OBR) has projected that the proposed alterations to the Work Capability Assessment could result in 424,000 individuals with severe mobility or mental health problems being denied additional Universal Credit of over £400 per month and protection from sanctions. The OBR also predicts that only three per cent of these individuals would be expected to find employment within the following four years.
For those claiming benefits in Scotland, it’s crucial to note that the suggested changes will not impact the 173,000 people currently receiving PIP or Disability Living Allowance (DLA), as they will transition to the Adult Disability Payment (ADP) by the end of next year.
