AO2 Flashcards
Benefit Cuts
In 2025, the UK government announced benefit cuts aimed at reducing welfare spending by £5 billion by 2029. The reforms mainly target disability benefits, including changes to Personal Independence Payment (PIP) and Universal Credit. PIP eligibility is being tightened, and the extra health-related payment in Universal Credit will be frozen or reduced for many claimants. The Work Capability Assessment will also be scrapped by 2028.
Impact:
Up to 1.2 million disabled people could lose £4,200–£6,300 per year.
Around 250,000 people, including 50,000 children, may fall into poverty as a result.
The government argues the changes will encourage people to work, but critics say the cuts will increase poverty and inequality, especially during the ongoing cost-of-living crisis.
