Latest news with #RuthCurtice


North Wales Chronicle
22-05-2025
- Business
- North Wales Chronicle
Winter fuel payment changes that could help more pensioners
But he has not set out how the change to who is entitled to the payments worth up to £300 will look. The means-testing of pensioners' winter fuel payments is an issue which has been blamed for contributing to Labour's poor performance in May's local elections and the Runcorn and Helsby by-election. There are several options for how the Government could go about it. One option would be a full reversal of the decision to strip the benefit from millions of pensioners. The decision to make it available only to those who claim pension credit last year meant those claiming winter fuel payment fell by almost 90% and saved around £1.5 billion a year, the Institute for Fiscal Studies estimates. Undoing last year's policy change would make some 11 million more households eligible and of course wipe out the £1.5 billion in savings. Creating a new threshold and means test would allow households not on pension credit to apply directly for winter fuel payments. Raising it 20% above the pension credit threshold would cost around £100 million and see winter fuel payments go to around 400,000 more families, according to the Resolution Foundation. One option would be to model this on child benefit by allowing all pensioner households to claim but then require those above a certain income level to pay some back via a self assessment tax return, the IFS notes. But there is a risk to adopting 'a clunky bureaucratic mechanism for what is, ultimately, a relatively small payment', IFS associate director Tom Waters warned. Very pleased to just hear the Prime Minister has just said he wants more state pensioners to get Winter Fuel Payments (WFP) and they will work out what they're doing in time for the budget. As I've said since day one, there are two main problems with the way the means testing… Some 1.8 million more households could get winter fuel payment at a cost of around £500 million per year if entitlement is extended to those on disability benefits, the IFS estimates. This would be more complicated to put in place in Scotland, where disability benefit is devolved. Extending eligibility to include those on housing and disability benefits would give support to 1.3 million more pensioner families at a cost of £300 million a year, the Resolution Foundation estimates. This would be an 'affordable' and 'sensible way forward', chief executive Ruth Curtice said. Recommended reading: One difficulty in allocating the winter fuel payment is that it currently goes to households rather than individuals. Changing this would mean the Government could do a means test on an individual basis and use information that it already records for income tax purposes. It would see pensioners with a low income but with a high-income spouse get the winter fuel payment. However, it could also see couples get twice as much winter fuel payment as single people, where at the moment a single person would get the same amount as a couple sharing a household.
Yahoo
30-04-2025
- Business
- Yahoo
DWP claimants face '50-week' wait over benefit worth £441 a month
Benefit claimants are being affected by horrendous delays, as Personal Independent Payment (PIP) applicants now face a staggering 50-week wait for assessments, as disclosed by Ruth Curtice, chief executive of the Resolution Foundation. The alarm was heralded in front of the work and pensions select committee with calls for immediate action, reports PIP, which supports those struggling with illness, disability or mental health issues in daily tasks, has been chucked into the spotlight following Labour's recent proposal to reform its contentious assessment procedures. READ MORE: Almost half of pensioners born before this date facing stealth tax raid Get breaking news on BirminghamLive WhatsApp, click the link to join At the committee, Ms Curtice aired her concerns, saying: "The waiting time for a PIP assessment is 50 weeks. So from the day your assessment was meant to happen, you wait almost a year until it actually happens." She spoke of systemic flaws that disadvantage both taxpayers and claimants: "There's clearly elements of the system that are not working, either for the government in terms of keeping the right people in the system, or claimants that are suffering delays." Curtice touched at root causes behind this sluggish pace: "The slowing seems to be due to fewer assessments and fewer reassessments. It may also be due to stretched job centres being able to provide less support." PIP is worth worth £441.60 every four weeks at the higher daily living rate, while at the lower rate it is worth £295.60 every four weeks. Contrastingly, a Department for Work & Pensions spokesperson refuted these alarming statistics to Yahoo News, claiming the current average period for a PIP verdict remains at 16 weeks, while new applicants typically anticipate nine weeks for their assessment. They remarked: "We support millions of people through our welfare system every year and it is a priority people receive the benefits they are entitled to as quickly as possible.." "We have hired more staff to respond to an increased volume of claims and have special rules in place so that people nearing the end of their life are guaranteed a fast-tracked PIP award. On the rare occasion this does not happen, we will investigate to understand what went wrong." Personal Independence Payment (PIP) has two elements, a daily living rate and a mobility rate, and claimants may be entitled to either one or both components. Claimants currently need to score between eight and 11 points to receive the standard rate daily living component. There will be no changes to the mobility component scoring system or the expedited claim process for individuals nearing the end of life. Individuals with 12 months or less to live who receive or are eligible for PIP can still claim the enhanced daily living component rate through the fast-track process. Scoring 12 points or more makes claimants eligible for the enhanced rate daily living component. But under Labour's plans, from November 2026, claimants will need a minimum of four points for at least one activity to qualify for the daily living component of PIP.


Daily Mirror
29-04-2025
- Business
- Daily Mirror
PIP claimants issued 50-week warning ahead of major benefits shake-up
There has been much conversation around PIP in recent weeks after Labour announced plans to introduce controversial changes to its assessment criteria Personal Independent Payment (PIP) claimants are 'suffering delays' of 50 weeks before they are assessed, a leading think tank has warned. Ruth Curtice, chief executive of the Resolution Foundation think tank, issued the warning at the work and pensions select committee last week. PIP is a disability benefit that is awarded to people who need help with everyday tasks due to an illness, disability or mental health condition. There has been much conversation around this benefit in recent weeks after Labour announced plans to introduce controversial changes to its assessment criteria. Ms Curtice told the committee: "The waiting time for a PIP assessment is 50 weeks. So from the day your assessment was meant to happen, you wait almost a year until it actually happens. "There's clearly elements of the system that are not working, either for the government in terms of keeping the right people in the system, or claimants that are suffering delays." She added: "The slowing seems to be due to fewer assessments and fewer reassessments. It may also be due to stretched job centres being able to provide less support." A DWP spokesperson told Yahoo News that it does not recognise these figures, and said clearance times from a decision for PIP is currently 16 weeks, with new PIP claimants waiting nine weeks for their assessment. They added: "We support millions of people through our welfare system every year and it is a priority people receive the benefits they are entitled to as quickly as possible. "We have hired more staff to respond to an increased volume of claims and have special rules in place so that people nearing the end of their life are guaranteed a fast-tracked PIP award. On the rare occasion this does not happen, we will investigate to understand what went wrong." PIP comes in two parts - there is a daily living rate and a mobility rate - and you can be entitled to just one, or both of these elements. To get the standard rate of the daily living part of PIP, you currently need between eight and 11 points. If you score 12 points or more, you are eligible for the higher daily living rate. But under changes being considered by Labour, from November 2026, you would also need a minimum of four points in at least one activity to get the daily living part of PIP. The point system for the mobility part of PIP is not changing, while people who are approaching the end of their life will also see no changes to how they claim PIP. People who claim, or an in receipt of PIP and are nearing the end of their life with 12 months or less to live, will continue to be able to access the enhanced rate of the daily living component of PIP by a fast tracked system.
Yahoo
23-04-2025
- Business
- Yahoo
DWP making PIP claimants wait nearly a year for crucial assessments, experts warn
Disabled people are being "let down" by the benefits system, a charity has said, after experts warned that those applying for personal independence payments (PIP) are being forced to wait nearly a year before they are seen for an assessment. The Department for Work and Pensions (DWP) has previously come under fire over a backlog in the number of disabled people being forced to wait for the benefit. On Tuesday, MPs were told that applicants are now waiting up to 50 weeks before they are even assessed for the health-related benefit. The chief executive of the Resolution Foundation think tank, Ruth Curtice, told the work and pensions select committee that the delay demonstrates that elements of the benefits system "are not working". Disability charity Scope told Yahoo News it shows "time and again, disabled people are being let down by our benefits system". PIP provides critical support to help people with the increased costs of living associated with having a disability. Earlier this year, the government was forced to respond to criticism of delays in the payment, blaming an unprecedented surge in demand for the benefit in recent years. As of May 2024, there were 392,000 outstanding PIP award reviews in England and Wales, with a record number of applications — a quarter of a million — lodged in the three months to April 2024. In April 2023, there were 210,000 applications made, and 200,000 the year before. However, others have pointed out administrative bottlenecks in the DWP, with not enough staff being recruited to deal with the rising demand. Curtice told the committee: "The waiting time for a PIP assessment is 50 weeks. So from the day your assessment was meant to happen, you wait almost a year until it actually happens. "There's clearly elements of the system that are not working, either for the government in terms of keeping the right people in the system, or claimants that are suffering delays," she said. The DWP has previously said it is processing new claims to ensure that payments are made as quickly as possible, which means that reviews of existing awards are also often delayed. "The slowing seems to be due to fewer assessments and fewer reassessments. It may also be due to stretched job centres being able to provide less support," Curtice said: "The rate of off flow for the incapacity element of universal credit has halved, if you could get that back up, it could save hundreds of millions — not billions — but it would be worth doing," she added. Curtice's comments were made as part of an inquiry launched by the work and pensions select committee this month to examine the controversial welfare reforms announced by Labour in March aimed at slashing billions from the benefits bill. The reforms include cutting and freezing the incapacity element of universal credit; scrapping the work capability assessment for universal credit claimants; and limiting the number of people eligible for PIP by tightening the assessment criteria. The inquiry is focused on the impact of the changes on the eligibility criteria and reduced payment rates of health-related benefits. The government has said that the reforms, which also include a £1bn package of employment support by 2029, will enable more people with chronic long term health conditions, and/or are disabled, to return to and stay in work. However, Curtice warned that the measures will only help 100,000 people currently claiming the benefit back into employment. That contrasts with figures from the Joseph Rowntree Foundation, which says three million people affected by the cuts will lose up to £12,000 a year. Professor in Social Science and Health at King's College London, Ben Geiger told the committee on Tuesday: "The problem is we have cut benefits for people with illnesses and disabilities, but it has only ever made the situation worse. "When you look at non-pensioner welfare spending as a whole - and there's been cuts - rising PIP spending has been meeting that need. Now, we're not spending more or less, but we're doing it in a more dysfunctional way," he added. James Taylor, director of strategy at disability equality charity Scope told Yahoo News that the delays are further evidence that "time and again, disabled people are being let down by our benefits system." Taylor said: 'These massive delays are unacceptable. Life costs more if you are disabled, and disability benefits are meant to help address these costs. 'As our energy prices continue to rise too many disabled people are forced to turn off essential equipment so they can afford their energy bills or avoid debt. 'At the same time the government is ploughing ahead with plans to strip billions of pounds from disability benefits. They must listen to disabled people and understand the impact this will have on their lives.' The government has been approached for comment.


Sky News
27-03-2025
- Business
- Sky News
Lower-income households set to be £500 poorer after chancellor's spring statement
Lower income households are set to be £500 poorer due to benefit cuts and a weak economic outlook, a thinktank has found. Living standards are on track to fall over the next five years for the poorest half of households, according to the Resolution Foundation's analysis of Wednesday's spring statement. It said a fall of this scale had only been exceeded historically by the early 1990s recession and the 2008 financial crisis and fallout. 3:54 The overall impact of all tax and benefit changes taking effect in this Parliament will reduce the incomes of the second poorest fifth of households by 1.5%, compared to a 0.6% fall for the richest fifth. The £4.8bn of welfare savings announced by Rachel Reeves will actually result in £8.1bn in cuts, the foundation said. "After accounting for the £1.9bn boost to the standard rate of universal credit, and the 'gain' from not going ahead with scored-but-never-implemented changes to the Work Capability Assessment, cuts to ill-health, disability and carer's benefits rise to £8.1bn in 2029/30, and will continue to grow over time," it calculated. The changes to benefits mean there are "huge holes" in the welfare safety net, and the foundation called for transitional protections to prevent such sharp income shocks. Ruth Curtice, the chief executive of the Resolution Foundation, said: "High debt servicing costs, weak tax receipts, and the need to reassure jittery markets meant the chancellor had to announce tax rises or spending cuts in her spring statement. "She chose to focus the bulk of her consolidation on welfare cuts. These cuts have been justified on the basis of getting people into work, but it is questionable how much of a jobs boost they'll deliver. 1:23 "After all, the bulk of the cuts are to disability benefits which aren't related to work, and the cuts take effect from 2026, three years before the government's employment support programme kicks into gear. "While the OBR's [Office for Budget Responsibility] outlook for growth today got gloomier, it is far more optimistic about Britain's medium-term economic prospects. "The chancellor will hope that reality catches up with the OBR, rather than the OBR falling back to reality, otherwise more tough choices await." Ms Curtice added: "The outlook for living standards remains bleak. Britain's poor economic performance, combined with policies that bear down hardest on those on modest incomes, mean that 10 million working-age households across the bottom half of the income distribution are on track to get £500 a year poorer over the course of the Parliament."