The government has been cautioned against rushing the proposed changes to disability benefits assessments, with experts warning that nearly 450,000 vulnerable people could be negatively impacted. The planned reforms to the Work Capability Assessment (WCA) were announced in 2023 by the previous Conservative government, aiming to overhaul the qualifying criteria significantly.
According to research conducted by the Department of Work and Pensions (DWP), these changes could result in around 450,000 fewer individuals being deemed as having limited capability for work. While Labour has expressed its commitment to these plans in its election manifesto, emphasizing that the current WCA system is not effective and needs to be reformed or replaced, experts from the Resolution Foundation urge caution.
The Resolution Foundation highlights that rushing these changes could lead to approximately 450,000 people, whose health conditions prevent them from working, experiencing a benefit cut of up to £4,900 per year. The think-tank argues that this issue is comparable in magnitude to Labour’s controversial decision to reduce winter fuel payments for millions of pensioners starting this year.
The report from the Resolution Foundation emphasizes the potential negative impact on low-income families, with 47 percent of families receiving these incapacity benefits belonging to the bottom 30 percent of the income distribution. The think-tank suggests that the changes should be delayed or canceled to allow for effective implementation and to prevent a decline in living standards.
Furthermore, the Resolution Foundation challenges the government’s reasoning that these changes would incentivize more people to enter the workforce, asserting that it is primarily a cost-saving measure. Their research indicates that only around 3 percent of those affected would transition into employment, while the majority would remain unable to work and face a significant financial loss.
Labour’s DWP secretary, Liz Kendall, has expressed the need to address long-term sickness as a critical employment challenge. With a record 2.8 million individuals currently out of work due to health reasons, Kendall emphasizes the importance of improving healthcare and combating economic inactivity.
The Resolution Foundation report also underscores the broader public policy failure related to the nation’s deteriorating health, warning that the financial burden of supporting individuals with health conditions could shift to other government sectors if the proposed changes are not carefully considered. Public spending on working-age disability and incapacity benefits is expected to increase by almost 50 percent over the next six years, primarily driven by disability benefits like Personal Independence Payments (PIP).
As discussions around these proposed changes continue, it is essential to prioritize the well-being of vulnerable individuals and ensure that any reforms are implemented thoughtfully and responsibly. The implications of these alterations to disability benefits assessments could have far-reaching consequences for those in need of support, underscoring the importance of thorough consideration and effective policy implementation. The Department of Work and Pensions has been contacted for comment on these concerns.
