MPs Warn Welfare Cuts Risk 50,000 Disabled in UK Poverty

Despite last-minute concessions and the shelving of some controversial welfare reforms, the Labour government’s planned cuts to Universal Credit risk pushing around 50,000 newly sick and disabled people into poverty by 2030. Key reductions include halving the health-related element of Universal Credit for new claimants with disabilities or health conditions, from £423.27 to £217.26 monthly, while the standard Universal Credit rate for all claimants will increase above inflation. The government has delayed cuts to Personal Independence Payment (PIP) pending a review co-produced with disabled peoples' organizations, but concerns remain about the adequacy of protections for those with severe conditions and the broader impacts on health and employment. MPs from the cross-party Work and Pensions Committee, chaired by Labour’s Debbie Abrahams, have criticized the reforms for lacking sufficient assessment and safeguards, urging the government to delay further cuts until independent impact analyses are completed. While existing claimants and those with severe or terminal conditions are protected, the reforms still threaten financial support for many newly disabled individuals, potentially exacerbating poverty and hardship. The government acknowledges the need to balance fiscal responsibility with social protection, but the ongoing debate highlights tensions within Labour and across Parliament regarding welfare policy and disability support.