£160 DWP payment boost for three million people | U.Ok.Finance News
More than three million people obtained an income boost in April because the Personal Independence Payment (PIP) price elevated by 1.7%. Chancellor Rachel Reeves unveiled the plans during October’s Autumn Statement, offering much-needed reduction for these battling high residing prices.PIP is a benefit distributed by the Department of Work and Pensions (DWP) to people who need further help day-to-day as a result of long-term sickness, disabilities, or bodily or mental health situations. Under the new charges, recipients may see their funds increase by up to £163.80 per 12 months, bringing the best annual whole to £9,747.40. There are two elements to PIP: a day by day residing half for those that need help with on a regular basis duties and a mobility half for those that need help transferring round. Each comes with two charges: a commonplace price and an enhanced price.Whether people get one or each elements and how a lot they get depends upon how tough they discover particular person duties.Who is eligible for PIP?People can apply for PIP even when they’re working, have financial savings, or already obtain different advantages.To be eligible, all of the next should apply to the claimant:Common situations that people declare PIP for embrace psychiatric situations, reminiscent of depressive and temper issues, in addition to musculoskeletal, neurological, or respiratory illnesses, reminiscent of bronchial asthma and cystic fibrosis.What are the PIP charges for 2025?In line with the 1.7% increase, new charges for each elements from April 2025 are:Daily residing duties
Mobility duties
The enhanced price of the mobility element additionally provides people the option of getting a Motability vehicle as an alternative of a money payment.The adjustments imply these entitled to the complete price can now obtain up to £187.45 a week, which interprets to round £749.80 each 4 weeks. This displays an increase of £3.15 a week, £12.60 each 4 weeks and £163.80 a 12 months.The best technique to declare is to telephone the PIP helpline. Claimants should then fill in a kind, after which they’ll bear an evaluation.People in some areas may also apply online – they’ll need to examine their postcode earlier than they begin the evaluation.How is PIP set to change in 2026?Reforms to PIP, introduced by Work and Pensions Secretary Liz Kendall, are set to take impact in November 2026.The adjustments purpose to tighten eligibility standards, which means solely these with essentially the most extreme disabilities will qualify for the day by day residing element. Under the revised guidelines, people should rating at the least 4 factors in at the least one exercise on the evaluation to be eligible.According to information from the DWP, the quantity of working-age people receiving PIP has more than doubled from 15,300 to 35,100 a month for the reason that pandemic. The quantity of younger people (16-24) receiving PIP per thirty days has elevated from 2,967 to 7,857 a month. Without reforms, the DWP estimated that the quantity of working-age people claiming PIP is anticipated to increase to 4.3 million over the following 5 years, costing £34.1billion yearly.The Government has defended the adjustments, branding it the “biggest shake-up to the welfare system in a generation”, which can create a “pro-work system”.But charities have argued the proposed changes are “immoral and devastating” for those they represent and could “push more disabled people into poverty”.Thomas Lawson, CEO of anti-poverty charity Turn2us, said: “We welcome proposed investment in employment assist and the ‘right to try work’. However, the cuts will hurt more people than they help. Reducing entry to PIP and slicing Universal Credit for these unable to work is short sighted. It will create hardship, erode trust and price us more within the long run.“If the Government needs to ‘get Britain working’, it must get the system working. That means listening to people’s experiences, building trust and making sure everybody has enough to dwell on.”
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