Six major changes to Universal Credit and benefits planned by Rishi Sunak – and you could have payments stopped
RISHI Sunak has revealed six major changes to Universal Credit and benefits as part of a huge proposed shake-up to welfare.
The Prime Minister set out his “moral mission” in an overhaul of the welfare system in a major speech this morning.
In the speech, he called for an end of the “sick note culture” and said focus must shift to what work people might be able to do.
It comes amid Government concerns some are being unnecessarily written off as sick and “parked on welfare”.
The Prime Minister repeatedly stressed that the system as it stands is letting people down by not being focused enough on the work they might be able to do.
He insisted the changes – including benefits being stopped if someone does not comply with conditions set by a work coach and a pledge to “tighten” the work capability assessment (WCA) – are not solely about cutting costs.
Mr Sunak added that there will be a consultation on proposed changes to a “more objective and rigorous approach” in the benefits system.
Rishi Sunak said: “I want to be completely clear about what I’m saying here.
“This is not about making the welfare system less generous to people who face very real extra costs from mental health conditions.
“For those with the greatest needs, we actually want to make it easier to access, with fewer requirements.”
The changes proposed by the Prime Minister could come into force if the Conservative Party win the general election.
Further details of the changes, including exactly who is affected and when the changes will be made, would be announced in the next Parliament.
Below, we outline the five major changes to Universal Credit and benefits planned by Rishi Sunak and explain how they could affect you.
1. Changes to work coach rules
Brits will lose their benefits after 12 months if they don’t take up a job.
He said that “anyone who doesn’t comply with the conditions set by the work coach, such as accepting an available job will, after 12 months, have their claim closed and their benefits removed entirely”.
Work coaches help and support those claiming benefits and Universal Credit.
All the advice and help provided is free and the work coach helps claimants look for work that is most suited to their skills.
2. Speed up managed migration
The Prime Minister said he plans to accelerate the move from legacy benefits to Universal Credit – a process known as managed migration.
Universal Credit was set up to replace legacy benefits.
The managed migration process began in May last year after a successful pilot in July 2019.
Eligible households are being contacted via letters in the post which tell them how to make the move a legacy benefit to Universal Credit.
Once you receive a letter, you have three months to move over, or you could lose your current benefits.
3. Find extra work in return for benefits
The Prime Minister announced that anyone working less than half of a full-time work week will have to try and find extra work in return for benefits.
He said: “For those who could work, with the right support, we should have higher expectations of them in return for receiving benefits.
“Because when the taxpayer is supporting you to get back on your feet, you have an obligation to put in the hours.”
4. Tighten up work assessment
The Work Capability Assessment (WCA) is used by the DWP to decide whether welfare claimants are entitled to sickness benefits.
Mr Sunak said he plans to tighten the assessment to encourage more people back to work.
He said that as a result, hundreds of thousands of benefit recipients with less severe conditions would be able to return to work.
Universal Credit
HERE'S everything to know about Universal Credit:
- What is Universal Credit? Everything you need to know including how to apply
- Universal Credit calculator: How much can I claim and how do I apply?
- Universal Credit login: How do I sign in to my online account?
- How much can I earn before Universal Credit is reduced and do I get a work allowance?
- What is a Universal Credit advance payment? How to apply and pay it back
- Are Universal Credit payments going up and how much more will I get?
- How to claim Universal Credit if you’re self-employed
- How many hours can I work on Universal Credit and will my payment be reduced?
- What is a Universal Credit budgeting advance and how much could I get?
- What is the Universal Credit housing element and how much of your rent does it pay?
5. Changes to “fit note” system
In a new move, The Prime Minister said wants to shift away from GPs signing off Brits with “Fit Notes” leaving it to health professionals to make the decision.
The intervention comes as figures this week revealed that 2.8 million people are currently signed off as long-term sick.
A Statement of Fitness for Work, aka fit note, is needed if a person has been off work with an illness for more than seven days.
This includes non-working days, such as weekends and bank holidays.
It was introduced as a way to make it easier and quicker for people to claim sickness-related benefits from the DWP.
6. Changes to personal independence payments (PIP).
The Prime Minister said in the next Parliament, a Conservative government will look at how PIP is used to support people with mental health conditions like depression and anxiety.
Instead, the Prime Minister has proposed a “more objective and rigorous” approach to PIP assessments.
He suggested greater medical evidence could be required to substantiate a claim for personal independence payments (PIP), and that some people with mental health conditions may be offered talking therapies or respite care rather than cash transfers.
He said this would make the PIP system “fairer and harder to exploit”.
The Prime Minister described the Government’s approach as saying “people with less severe mental health conditions should be expected to engage with the world of work”.
PIP is for those over 16 and under the state pension age, currently 66.
Crucially, you must also have a health condition or disability where you either have had difficulties with daily living or getting around – or both- for three months, and you expect these difficulties to continue for at least nine months (unless you’re terminally ill with less than 12 months to live).
You can also claim PIP if you’re in or out of work and if you’re already getting limited capability for work and work-related activity (LCWRA) payments if you claim Universal Credit.
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