UK ministers weigh overhauling disability support for younger claimants

UK ministers are considering a wide-ranging welfare package that could remove the health element of universal credit for claimants under 25 and replace it with more intensive employment support, according to multiple Whitehall sources cited by the Guardian. The proposals remain under discussion and are awaiting reviews on young people’s employment and personal independence payment, known as Pip. One option would remove the health element for existing under-25 claimants as well as new applicants.

That payment has already been reduced to £217 a month. The proposed replacement package could include subsidised jobs, targeted back-to-work programmes and mental-health support. Ministers say the objective is to help more of the roughly one million 16- to 24-year-olds not in employment, education or training enter work.

Officials are also examining a new system to replace Pip, which is claimed by four million people. Possible changes include separate rules for under-25s, revised eligibility criteria and new assessments of disability-related costs. People with the most severe and debilitating disabilities would not lose money under the options described.

The government source quoted by the Guardian said the details had not been decided but insisted that the reforms would protect people unable to work. The plans carry political risks after Labour MPs rejected earlier changes to Pip. Charities have warned that cuts or tougher sanctions could push vulnerable young people further into poverty.

Ministers would need legislation, with a bill potentially covering the Pip replacement and under-25 changes in the next parliamentary session. The government says the reforms are intended to address youth inactivity while expanding work and training opportunities. Critics remain concerned about the effect on disabled people’s living costs.