Some young disabled people could receive help from a local fund for specific expenses instead of regular Personal Independence Payment (PIP), according to reporting published by The Guardian on 12 November. The proposal is expected to feature in recommendations from Alan Milburn’s review. The report has not yet been presented, and the proposals described are not changes to the benefits system currently in force.
According to the newspaper, the plan concerns people under 25. It envisages a new youth benefit set at the basic rate of Universal Credit, the benefit that helps with living costs. This would replace both PIP, which supports disabled people, and the health-related element of Universal Credit. Separate protection is envisaged for those with the greatest needs, although the account of the proposals does not give full eligibility criteria.
Funding for specific needs
The local fund would cover items such as equipment and short-term expenses, including travel to training courses or job interviews. Local advisers would manage it, with the aim of releasing money quickly in response to an identified need. That would change how some support is delivered: rather than receiving a regular payment, a young person would access funding for a particular purpose.
Milburn told The Guardian that a new system was needed to bring together schools, the NHS — the UK’s publicly funded health service — and employers. Its aim would be to help young people into work or education. He said the support outlined in the report could create 440,000 employment and education opportunities by 2036 and increase young people’s net incomes by more than £2 billion. These are his projections, not results already achieved.
Concerns over losing regular support
The Joseph Rowntree Foundation warned, however, that the proposals could take away money young people need to stay in work or continue their education. The debate is therefore not only about helping people enter the labour market, but also about whether support for selected expenses would provide enough stability for disabled young people.
For people already receiving benefits, a key question is who any changes would cover. According to The Guardian, Downing Street, the prime minister’s office, did not rule out applying them to existing claimants. That does not mean such an approach has been adopted.
At this stage, the reporting concerns anticipated recommendations, not a decision to change benefit payments. The Guardian’s account does not confirm that the proposals have been accepted or give an implementation date. Detailed rules would be needed to establish who would retain existing protection and who would move to the new benefit and local fund.