The UK government has announced significant reforms to disability benefits, which are expected to impact approximately 150,000 carers. These individuals may lose their entitlement to Carer’s Allowance or the carer element of Universal Credit under new eligibility rules. The changes form part of a wider initiative by the Department for Work and Pensions (DWP) to reduce welfare spending by £4.8 billion annually by 2029/30.
Overview of the Reforms
Starting in November 2026, the DWP will introduce stricter eligibility criteria for Personal Independence Payment (PIP). Under the current system, individuals can qualify for the daily living component of PIP by scoring at least eight points across a variety of assessed activities. The new rule will require claimants to score at least four points in a single activity in order to qualify.
This change is expected to disqualify individuals who previously qualified through a combination of lower scores spread across multiple activities. As a result, around 800,000 people may lose access to the daily living component of PIP.
Because Carer’s Allowance and the carer element of Universal Credit depend on the person being cared for receiving a qualifying disability benefit such as PIP, this change could also affect those who provide unpaid care to these individuals.
Impact on Carers
According to DWP estimates, the following impacts are anticipated:
- Approximately 107,000 carers will lose Carer’s Allowance, which currently pays £83.30 per week.
- Around 96,000 carers will no longer qualify for the carer element of Universal Credit, currently valued at £201.68 per month.
- An estimated 55,000 carers will lose both benefits, leading to a substantial annual income loss.
These cuts are expected to place significant financial pressure on carers, many of whom provide round-the-clock support to disabled family members or friends. With less financial assistance, some may struggle to continue their caring responsibilities without further hardship.
Broader Implications
These reforms are part of a larger effort to reshape the UK’s welfare system, with a focus on reducing public spending and encouraging work participation among benefit recipients. However, disability and carer advocacy organisations have raised concerns that these changes could disproportionately harm vulnerable groups.
Internal government assessments suggest that up to 3.2 million households could be negatively impacted, with an average loss of £1,720 per year for those affected. Critics argue that the reforms place an undue burden on disabled individuals and their families, who already face financial challenges and care responsibilities.
Charities have voiced their opposition to the proposed reforms. Helen Walker, Chief Executive of Carers UK, described the changes as “an unprecedented step in the wrong direction” and called on the government to reconsider. She stressed the invaluable role carers play in supporting the healthcare system and highlighted the need for sustainable financial support.
Government Response
The government has acknowledged the potential financial impact of these reforms and indicated plans to introduce transitional support measures for those affected. However, no clear details have been provided on what form this assistance will take or how it will be administered.
Despite the growing public backlash and dissent from within political parties, ministers insist that the reforms are essential to creating a more efficient and sustainable welfare system.
Next Steps
The proposed changes are scheduled to be debated and voted on in the House of Commons in June 2025. Over 100 Labour MPs have already voiced opposition to the reforms, suggesting that the final decision could be closely contested.
Individuals who could be impacted by the changes are encouraged to stay informed through official updates and seek help from support organisations. Carers who are concerned about their future eligibility or finances can consult advisory bodies or use government resources to explore alternative support options.
For now, it remains critical for carers and those receiving disability benefits to review their entitlements and prepare for the possibility of these upcoming changes. If implemented, these reforms could represent one of the most significant shifts in the UK’s benefits system in over a decade.