DWP PIP cuts update as Liz Kendall says ‘we cannot’ | Personal Finance | Finance

The Government has sparked fury by rejecting pleas from MPs to delay sweeping changes to disability benefits, which could strip thousands of vulnerable people of vital support.

The controversial reforms – aimed at slashing £5billion from the welfare budget – are expected to tighten eligibility rules for Personal Independence Payments (PIP) and the Universal Credit health top-up.

Despite cross-party concern and warnings from disability campaigners, Work and Pensions Secretary Liz Kendall has flatly refused to delay the plans – even in the face of growing unrest on the Labour backbenches.

In a letter to the Commons Work and Pensions Committee published yesterday, Ms Kendall said the reforms “are needed now” and insisted: “We are not consulting on every proposal.”

She told MPs the proposed bill – due to be introduced to Parliament next week – would allow for “scrutiny” through the usual legislative process, dismissing demands for an independent review before any changes are made.

It comes after Committee Chair and Labour MP Debbie Abrahams wrote to Ms Kendall last month urging her to pause the rollout until the Government could properly assess the potential impact on disabled claimants.

Opponents fear the new rules could push people into deprivation and leave thousands unable to cover basic living costs if support is pulled without a safety net.

Under the new system, claimants must score four points in a PIP assessment to qualify for the daily living component – effectively limiting support to those with more severe conditions.

Ms Kendall admitted that reforming the assessment process would “take time and require extensive engagement” but argued: “We cannot wait for the conclusion of that work before making changes to PIP eligibility criteria.”

She stressed the need to make the welfare system “sustainable”, and said changes must be in law by November if the savings are to be delivered in the 2026/27 financial year.

But Labour insiders say as many as 150 MPs could rebel and refuse to back the bill unless more assurances are given. One senior backbencher described the move as “politically suicidal”.

Official figures from the Office for Budget Responsibility claim 9 in 10 current PIP claimants will still receive payments by the end of this Parliament. But internal Government analysis suggests the real number of people falling short of the new threshold could be far higher in some parts of the country.

Ministers insist many of those affected could remain eligible due to changes in health or because the assessment itself will be overhauled. However, the lack of clarity has fuelled alarm among disabled groups and their families.

While the Government says it must plug a £22bn black hole in public finances, Labour also claims the changes are part of a wider push to help disabled people into work – a goal critics say risks being undermined if people lose the support that enables them to live independently in the first place.

Despite the letter from the Secretary of State, there have been suggestions in recent weeks that new rules on PIP assessments will be softened. This could include removing the need to score at least 4 points under at least one heading in the PIP assessment.