logo
1.5 million UK citizens could be out of the disability benefit net soon, new bill proposes drastic changes in eligibility criteria

1.5 million UK citizens could be out of the disability benefit net soon, new bill proposes drastic changes in eligibility criteria

Economic Times6 hours ago

File photo: UK Prime Minister Keir Starmer.
Synopsis The Labour government's new welfare bill proposes significant changes to Personal Independence Payment (PIP), potentially impacting around 1.5 million Britons. Under the new guidelines, the 'daily living' element of the benefit effectively will get harder to claim after the eligibility criteria are tightened. All applicants will receive points according to their ability limitations for each activity. Around 3.7 million Britons are currently availing the benefits of Personal Independence Payment (PIP), which helps them with some extra money to take care of the cost incurred by living with an illness or disability. But that number is set to drastically come down as nearly 1.5 million people will soon lose the right to claim PIP benefits.
ADVERTISEMENT The Labour government of Prime Minister Keir Starmer has introduced a new welfare bill revealing the full extent of the plans and roadmap to cut welfare for millions of disabled benefit claimants. This comes as the ruling party faces a crucial vote next month.
An analysis by the Office for Budget Responsibility and verified by The Independent, the latest bill is likely to take away the eligibility of around 1.5 million people who currently claim the benefit of PIP. The watchdog further states that the 'behavioural response' can possibly reduce this to around 800,000 people.
It, however, acknowledged that this is a 'highly uncertain judgement'.The 'Universal Credit and Personal Independence Payment Bill' precisely explains what will happen to PIP claimants if they end up losing their entitlement under the new rules.Department for Work and Pensions (DWP) secretary Liz Kendall had in March 2025 announced the proposed changes.
ADVERTISEMENT Under the new guidelines, the 'daily living' element of the benefit effectively will get harder to claim after the eligibility criteria are tightened.Similar to what has been happening till now, assessors will ascertain if an applicant has limited ability to conduct day-to-day activities. The assessment will be based on how the applicants carry out a range of activities. They will be awarded points based on how limited their ability is.
ADVERTISEMENT All applicants will receive points according to their ability limitations for each activity. They will require eight overall to secure this element of the benefit at the basic rate and 12 for the higher.Things, however, will be different from November 2026, as the applicants will need to score at least four points in a single daily living activity to be allowed to avail this element of the benefit. The eight required points can no longer be spread across activities.
ADVERTISEMENT
The changes planned by the Labour government have received strong backlash from charities and campaign groups. According to The Independent, over 100 Labour MPs are likely considering voting against the government on the plans.
ADVERTISEMENT If someone availing themselves of the benefits of PIP loses entitlement, they will not witness any reduction in it without attending a reassessment which takes place every three years on average.After being invited for reassessment, for which attendance is mandatory, applicants will be assessed as before. However, the new points-scoring system will now apply.If things go south and someone ends up losing their entitlement due to legislation changes, it will not stop being paid at that rate immediately. Payments will continue at that level for 13 weeks as a 'transitional cover', according to the government press release. This will not be paid if the recipient moves abroad or is reassessed and becomes entitled again.
'The Universal Credit and Personal Independence Payment Bill will provide 13 weeks of additional financial security to existing claimants affected by changes to the PIP daily living component, including those who lose eligibility to Carers Allowance and the carer's element of Universal Credit,' the release read. After these 13 weeks, payments for the daily living part of the benefit will stop.
(You can now subscribe to our Economic Times WhatsApp channel)
(Catch all the US News, UK News, Canada News, International Breaking News Events, and Latest News Updates on The Economic Times.)
Download The Economic Times News App to get Daily International News Updates.
NEXT STORY

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

'India's Gift To The World': British MP Bob Blackman Hosts Yoga Event In UK Parliament
'India's Gift To The World': British MP Bob Blackman Hosts Yoga Event In UK Parliament

News18

time33 minutes ago

  • News18

'India's Gift To The World': British MP Bob Blackman Hosts Yoga Event In UK Parliament

Last Updated: International Yoga Day is observed every year on June 21 to promote physical, mental, and spiritual well-being British Conservative MP Bob Blackman on Thursday hosted a special yoga session in the UK Parliament. The event, held just ahead of International Yoga Day on June 21, saw the participation of several Members of Parliament and staff. Sharing photos from the gathering on social media platform X, Blackman wrote, 'I hostedhosted a fantastic Yoga event in Parliament, atended by many MPs and colleagues. Yoga is India's gift to the world!" I hosted a fantastic Yoga event in Parliament, atended by many MPs and colleagues. Yoga is India's gift to the world! This Saturday marks #InternationalYogaDay2025 — Bob Blackman (@BobBlackman) June 19, 2025 Earlier in the day, he had invited his fellow parliamentarians to join the session. 'This Saturday is the longest day and also #InternationalYogaDay – India's gift to the world! I invited colleagues to our Yoga event in Parliament, to practice yoga and having a healthy, long life," he shared on the platform. International Yoga Day is observed every year on June 21 to promote physical, mental, and spiritual well-being. Recognised by the United Nations in 2014, the day highlights the many benefits of yoga, from improving flexibility and strength to reducing stress and anxiety. Blackman, MP for Harrow East, is well-known for his strong support for India in the UK Parliament. He has repeatedly spoken out in favour of India's domestic and foreign policy stances and has openly criticised Pakistan for allegedly backing cross-border terrorism. Earlier this month, Blackman had called on the UK government, led by Labour's Keir Starmer, to stand firmly with India in its fight against terrorism. He had also highlighted his meeting with an all-party delegation of Indian parliamentarians and reaffirmed his support for India's military operation, Operation Sindoor, calling Pakistan a 'failed state" in the context of terrorism. First Published:

Bad news for Ratan Tata's group TCS as it faces strong opposition from…
Bad news for Ratan Tata's group TCS as it faces strong opposition from…

India.com

time3 hours ago

  • India.com

Bad news for Ratan Tata's group TCS as it faces strong opposition from…

Ratan Tata (File) The All India IT & ITeS Employees' Union (AIITEU) has condemned Tata Consultancy Services (TCS') over its revised associate deployment policy. According to media reports the policy had mandated employees to have 225 days of billability every year and also limited bench timelines to 35 days a year. The tech workers union also called it an 'anti-worker policy' and accused it of making it 'downsize' teams, according to a Money Control report. The IT employee union said that the new associate deployment policy of TCS puts the responsibility of finding projects on the employees instead of the Resource Management Group (RMG). TCS New Policy The new policy was announced on June 12 by the Resource Management Group (RMG)regarding assigning projects to employees. According to new rules, employees have to approach the RMG themselves to get projects so they can ensure to have 225 days of billability over a 12 months period. If the employee misses this billability target, they will face disciplinary action like termination of service , the policy said. Employees also cannot be on bench for more than 35 days a year, as reported by Money Control. IT Employee Union On TCS Policy AIITEU said in a statement, 'The RMG of TCS is known to be responsible for ensuring adequate billability of the employees. While it is true that long period of inactivity has an adverse effect on employees' compensation, individual growth and overseas deployment prospect, the policy also has an ulterior motive of transferring the responsibility to ensure adequate billability from the RMG to the employees.' 'It is an attempt by TCS Management to justify the organisation's anti-worker policy of Performance Improvement Plan (PIP) that the management often resorts to, during downsizing,' the tech workers union added. TCS employees are also expected to upskill themselves and take mandatory 4-6 hours of training through the company's iEvolve platform, as per the new rules.

IT union AIITEU slams TCS' 225-day billability and 35-day bench policy
IT union AIITEU slams TCS' 225-day billability and 35-day bench policy

Business Standard

time3 hours ago

  • Business Standard

IT union AIITEU slams TCS' 225-day billability and 35-day bench policy

The All India IT and ITeS Employees' Union (AIITEU) has criticised the latest policy of Tata Consultancy Services (TCS), which mandates employees to be billable for 225 days every year and limits bench timelines to 35 days. Terming the move an 'anti-worker policy,' the union said it was a step by India's largest IT services provider to justify its performance improvement plan (PIP), a strategy often used during downsizing. 'The Resource Management Group (RMG) of TCS is known to be responsible for ensuring adequate billability of employees. While it is true that a prolonged period of inactivity adversely affects compensation, individual growth and overseas deployment prospects, the policy also has an ulterior motive—transferring the responsibility for billability from the RMG to employees,' AIITEU general secretary Saubhik Bhattacharya said in a statement. The decision, announced by TCS' RMG, also warned that extended periods of being unallocated would negatively impact compensation, career growth, and chances of overseas deployment, and could even result in termination. The union said the responsibility of assigning projects lies with the company and accused TCS of deflecting its duty by shifting the onus onto employees. 'They are imposing a time limit of 35 days, and there is no guarantee that TCS will not reduce it further in the future to increase pressure on employees,' the union added. TCS' move comes at a time when utilisation levels at IT companies have reached an all-time high of nearly 85 per cent. This implies that most experienced engineers are engaged in active projects. Keeping others on the bench affects margins, as they are not billable resources. While unallocated and on the bench, TCS employees are expected to be in office for faster deployment. They are also required to upskill on the company's learning platform, iEvolve, for four to six hours daily.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store