The number of people claiming the health component of Universal Credit, which typically exempts recipients from work requirements, has surged by 23 per cent in the past year.
Data from the Department for Work and Pensions (DWP) reveals that Universal Credit health claims increased from approximately 2.9 million to 3.5 million, a rise of 600,000. Since records began in April 2019, claims have more than tripled from around 400,000 to over 3 million today.
Spending combined on Personal Independence Payment (PIP) and Universal Credit health support has soared from £15.71 billion in the 2019/20 financial year to £53.02 billion in the current year.
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Projections suggest this figure will continue rising, reaching an estimated £75.77 billion by 2030/31.
The Prime Minister’s official spokesman acknowledged Labour leader Andy Burnham’s call for serious welfare reform, stating, “We need to address welfare in a way that avoids crude cuts pushing people into crisis and generating greater costs elsewhere.”
He added, “Our welfare work aims to tackle underlying issues, transform support mechanisms, and ultimately create a system that enables people to succeed rather than pay for failure.”
The DWP has announced a review to ensure PIP remains “fit and fair for the future.” In response, Conservative Party Shadow Work and Pensions Secretary Helen Whately criticised the current system, saying: “Our sickness benefits system is broken, and Labour refuses to fix it. It is too quick to write people off and too slow to support their return to work, costing us heavily.”
She outlined Conservative plans for a comprehensive review of sickness benefits, including stopping claims for low-level mental health issues, conducting rapid face-to-face reassessments of hundreds of thousands of claimants upon taking office, and boosting employment.
Reform Party’s Lee Anderson has also called for stricter measures on these claims.
A DWP spokesperson noted, “The rise in the PIP caseload has slowed under this government, decreasing from 400,000 in the year to July 2024 to 260,000 in the year to July 2026.”
The spokesperson continued, “As highlighted by the Timms Review, PIP is outdated. The upcoming report due this autumn will set the groundwork for sustainable reform. We are also fulfilling our commitment to increase face-to-face assessments, which have more than doubled from 7% in June 2024 to 15% in July 2026 for PIP.”
This ongoing review reflects the government’s focus on addressing the rapid growth in welfare claims and expenditure while aiming to improve the fairness and effectiveness of sickness and disability benefits.