DWP planned £3 Billion Disability Cuts: The Department for Work and Pensions (DWP) is moving forward with plans to cut £3 billion in disability payments, even after a High Court ruling found a previous consultation on the reforms unlawful.
The ruling challenges the way changes to the Work Capability Assessment (WCA) were introduced under the previous Conservative government, but the new Labour government has confirmed it will still make the same financial savings, though with a new consultation process.
This decision will affect hundreds of thousands of people receiving health-related Universal Credit payments, particularly those who currently receive a £416 top-up due to limited work capability.
Understanding the Work Capability Assessment (WCA) Reforms
The Work Capability Assessment (WCA) determines whether someone with a health condition or disability is fit to work or qualifies for extra Universal Credit payments under the Limited Capability for Work and Work-Related Activity (LCWRA) category.
If deemed unable to work, claimants receive an extra £416 per month.
If found fit for work, they lose this extra support and must meet job-search requirements.
Labour’s Plan for WCA Reform
Although the High Court ruled the previous consultation was unlawful, Labour has confirmed it will proceed with reforms to achieve the same £3 billion savings. However, it will introduce its own consultation process to replace the previous Conservative approach.
High Court Ruling: Why Was the Consultation Unlawful?
In Autumn 2023, the Conservative government proposed changes to the WCA scoring system, making it harder for claimants to qualify for extra Universal Credit payments. However, disability rights campaigner Ellen Clifford challenged this in court, arguing that:
The consultation process was rushed and lacked transparency.
It failed to inform people that they could lose up to £416 per month.
Vulnerable groups, including people with mental health conditions and learning disabilities, were not properly consulted.
Judge’s Verdict
High Court Judge Mr Justice Calver ruled that the consultation was “so unfair as to be unlawful” because:
- The government was driven by cost-cutting goals rather than proper research.
- The consultation failed to explain that 424,000 people per year would lose LCWRA payments, reducing disability benefit spending by £1.4 billion per year by 2028-29.
- Vulnerable people were misled and not given enough time to respond.
Despite this ruling, the Labour government has not reversed the planned cuts but has promised a new consultation.
Who Will Be Affected by the Cuts?
The WCA reforms do not affect Personal Independence Payment (PIP) or Disability Living Allowance (DLA), which are separate disability benefits based on care and mobility needs.
However, people who receive both Universal Credit and PIP/DLA could see a significant reduction in their overall income.
Estimated impact of reforms:
- 424,000 people per year will lose their LCWRA payments.
- Disability benefit spending will drop by £1.4 billion per year by 2028-29.
- Claimants may have to meet new job-search conditions or risk sanctions.
Reactions to the Ruling and Government Response
Ellen Clifford (Disability Rights Campaigner)
Welcomed the ruling, saying it highlighted the failure to consult disabled people properly.
Warned that many would be left worse off by at least £416 per month, calling it a “life-or-death issue”.
Labour Government’s Response
- Agreed to re-consult on the reforms.
- Confirmed that they still aim to make £3 billion in savings, despite the ruling.
- Promised to address previous consultation flaws.
Government Spokesperson Statement
Acknowledged the High Court’s criticism of the previous Conservative consultation.
Confirmed Labour would hold a new consultation but still implement reforms.
Stated that the government remains committed to “helping people into work” while ensuring “fiscal sustainability.”
What Happens Next?
Labour will launch a new consultation on Work Capability Assessment reforms.
Disability rights groups may challenge the new process if concerns remain.
If implemented, reforms will cut disability-related Universal Credit payments for hundreds of thousands.
Many claimants and advocacy groups fear that the new consultation may still result in major benefit cuts, affecting those unable to work due to severe health conditions.
Despite the High Court ruling, the UK government is still moving ahead with £3 billion in disability payment cuts. The Work Capability Assessment reforms will impact hundreds of thousands of people, particularly those receiving extra Universal Credit payments due to severe health conditions.
While Labour promises to review the process, it has confirmed that the planned savings will still go ahead. For many disabled claimants, this raises concerns about financial stability, job-search pressures, and reduced support.
The situation remains uncertain, with legal challenges and advocacy efforts expected to continue.
FAQ
What are the planned disability payment cuts in the UK?
The UK government is set to cut £3 billion in disability-related Universal Credit payments by changing the Work Capability Assessment (WCA).
How will the WCA reforms affect disability benefits?
Around 424,000 people per year may lose their £416 monthly LCWRA top-up on Universal Credit, reducing disability benefit spending by £1.4 billion yearly.
Does this affect PIP or DLA payments?
No, Personal Independence Payment (PIP) and Disability Living Allowance (DLA) remain separate. However, those receiving both PIP/DLA and Universal Credit may see income reductions.
Why did the High Court rule the consultation unlawful?
The court found that the previous government failed to properly explain the reforms, rushed the consultation, and misled vulnerable claimants.
Will Labour reverse the disability benefit cuts?
No, Labour has confirmed it will proceed with £3 billion in savings but will hold a new consultation to replace the previous Conservative process.
This Government and the previous Government always pick on the weakest and easiest people to target wether it bethe disabled community or those in most need. They never target the wealthiest community as they are scared of them as they will simply take their money out of the UK.
Also stop handing benifits to those coming to the UK illegally and stop the hotels further as they are so ungrateful by saying the standards are not high enough for them if this is the case then why did these men leave the women in said conditions and countries that they left behind. Also those with criminal past should be sent back to to the first safe haven that they arrived at .
This it self will safe this Government said money also stop foreign aid for the countries like India and the others who are no longer a third world country. This it self would safe 300 million just in foreign aid to India and there is many more countries that no longer need this said foreign aid as they are becoming a more stable country with their own wealth.
Hello Alexander,
I am totally agree your question are valid. Government must think twice before cutting money.
Disabled & pensioners cannot strike,,so makes them the 1st target,,How that man can sleep at night is only because he has NO conscience….To be able to blatantly lie to pensioners faces,,then stab them in the back,one despicable excuse for a human being…Too busy giving more borrowed money away,,Obviously had NO thought for the British people…Tommy Robinson is 100% correct…..
Hello Emma,
Yes, He is 100% correct.
When r the goverment &ministers goi g to cutt there wages ,as a exsample to us all,they cutt winter payments,instead they get clothes donated for nothing &claim exspenses.
They should b national strike for pensioners ,who worked are thought 4 this country.
The government always pick on the most that need help, go after the people who has the most money, they need to stop using all the Range Rovers and expensive cars to travel about in, most people on benifits can’t work how do they expect people on benifits to live on £80 a week, the government put wages up to £11 a hour and they can’t live on that. Despicable
Labour are clearly nothing more than conservative 2.0 . Seems to me the majority they got has gone to their heads that they can do anything they like. So, 3 million disabled people voted them in and it will be absolutely fact that’s 3 million votes they won’t get next time round which will cost them the election. I still remember theb2015 promise that they would scrap the bedroom tax from day 1 of being in power… yeah right !