Pip and universal credit cuts explained: Who will be hit and how much will they lose?
Since the government's planned welfare cuts were first announced in March, concern among disabled people, charities, and backbench MPs has continued to grow.
The outcry in response to the reforms has plagued Sir Keir Starmer and his ministers as they seek to win over Labour MPs on the changes.
Despite more than 120 Labour MPs backing a move to block the legislation, the government insists it is pressing ahead with the reforms.
But what are the changes, how many will be affected, and why are MPs so angry about it?
What is Pip and who will lose out under the cuts?
Personal Independence Payment (Pip) is paid to support people with a long term physical or mental health condition or disability.
It's not connected to whether or not you can work, and is designed to cover the additional costs associated with being disabled or long-term sick.
There are current 3.7 million people claiming Pip, and under the government's changes it's estimated the cuts will affect around 800,000 people.
There are two parts to Pip - the daily living component, and the mobility component. The mobility component is not affected by the changes, but the government is making it more difficult for people to claim the daily living component by tightening eligibility.
People are assessed for Pip through questions about their ability to do different daily tasks independently, with each task scaled on a scale from zero to twelve. They currently need to score eight points across the different categories for the standard rate, or twelve for the higher rate.
But under the new plans, from November 2026 claimants will need to score at least four points for one activity, rather than a lower number of points across multiple activities.
For example, an individual who needs help washing their hair or their body below the waist would score two points and therefore no longer qualify, but needing help washing between the shoulders and waist is worth four points, meaning that would make someone eligible.
People claiming the daily living component receive either a standard rate of £72.65 a week, or an enhanced rate of £108.55 a week, depending on the severity of their condition.
The Universal Credit and Personal Independence Payment Bill also says that there will be a 13 week transition period for anyone losing their Pip, instead of the standard four weeks.
What are the changes to universal credit and how many will be hit?
Universal credit (UC) is a monthly benefit paid to those who need extra support with living and housing costs.
Single claimants over 25 get £400.14 a month on the basic rate, but people with a limited capacity to work, because of a disability or long term sickness, get an additional top-up of £416.19.
Under the government's reforms, the UC health top-up for new claimants will be cut in half from £97 a week to £50 a week in 2026-7, and will then be frozen until 2030.
Existing claimants will also have the incapacity top-up frozen until 2030.
While the top-up is being cut for new claimants, the basic rate of universal credit will rise from around £92 a week to £106 a week by 2030.
How many people will be hit?
The government's own estimates say 3.2 families will be financially impacted by the cuts, with an average loss of £1,720 a year.
But they have repeatedly pointed out those estimates don't take into account the number of people who will be helped into work from an extra £1 billion pot of funding announced as part of the package.
The government anticipate 370,000 current Pip claimants will no longer qualify, and 430,000 future recipients will get less than they would under the current plans.
The figures also say 2.25 million current UC claimants will lose an average of £500 from the freeze on UC health, although they point out those individuals will see an increase from the rise in the basic rate.
730,000 future recipients of UC health will lose an average of £3,000 a year.
The government's impact assessment also confirmed that some 250,000 more people, including 50,000 children, are likely to fall into relative poverty after housing costs in 2029/2030.
How much will the cuts save?
The welfare bill has ballooned in recent years, with the government spending £65 billion a year on health and disability benefits. Before the government's reforms, the bill was set to rise to £100 billion by 2030.
The cost of the Pip bill alone was due to almost double to £34 billion by 2030.
The total package is expected to save the government £5 billion a year by 2030.
One in 10 working age people now claim sickness or disability benefit, and 1 million young people are not in education, work or training.
Work and Pensions Secretary Liz Kendall has previously said there are 1,000 new Pip awards every day – 'the equivalent of adding a city the size of Leicester every single year'.
How many MPs are opposing the plans?
For months Labour MPs have been voicing anger at the plans both publicly and privately, but this week over 120 have signed a reasoned amendment to the bill which could threaten to derail the plans.
There are also 11 MPs from other parties backing the amendment.
If all opposition parties vote against the bill, only 83 Labour MPs need to join them for it to be defeated. If the Conservatives decide to support the reforms, that could give the government a way out - but they have insisted on near-impossible conditions in return for their support.
Kemi Badenoch said the Tories would lend the government votes to pass the legislation but only if Labour rules out tax rises in the autumn budget as well as reducing unemployment and lowering the welfare budget.
Rumours swirled in Westminster on Wednesday that the government might pull the bill, but the prime minister insisted MPs will vote on the reforms next week as planned, dismissing the rebellion as "noises off".
Asked if he has "failed to read the mood" among Labour MPs, Starmer said: "There's a pretty united front that say we need reform... the question is how is that reform is carried out."
"I'm comfortable with reading the room and delivering the change the country needs," he told journalists at a press conference at the Nato summit in The Hague.
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