DWP urged to consider means-testing PIP amid welfare cost rise

DWP urged to consider means-testing PIP amid welfare cost rise The Department for Work and Pensions has been called on to introduce means-testing The Department for Work and Pensions (DWP) has been called upon to explore introducing means-testing for Personal Independence Payment (PIP) as part of the Timms Review. During DWP oral questions in the House of Commons on Monday, Conservative MP Joy Morrissey questioned whether eligibility for the disability benefit should factor in a claimant's income, arguing that escalating costs suggest the matter warrants consideration. PIP is a non-means-tested benefit, meaning entitlement is based on how a person's long-term health condition or disability affects their daily living and mobility rather than their income, savings or employment status. A successful claim for PIP is worth between £30.30 and £194.60 a week and as payments are made in arrears every four weeks, this amounts to awards of between £121.20 and £778.40, reports the Daily Record. The Beaconsfield MP said: "The increased PIP costs are expected to add an extra £5 billion to the welfare budget this year. As the TaxPayers' Alliance has highlighted, the number of households earning over £100,000 and getting PIP has doubled to 200,000 claimants. Will the Minister (Sir Stephen Timms) make an assessment of the potential merits of means-testing PIP to ensure targeted support?" In response, Disability and Social Security Minister Sir Stephen Timms signalled that the UK Government had no intention of altering the long-established principle that PIP entitlement should not be determined by a person's financial situation. He told MPs: "Together with disabled people, we are co-producing a review of PIP to ensure that it is fair and fit for the future. "The review's terms of reference reflect the view of successive Governments that PIP should be a non-means-tested cash benefit for people both in and out of work, because anybody can incur additional costs as a result of long-term ill health or disability." The UK Government announced the independent PIP review earlier this year, following the decision to scrap planned reforms that would have tightened eligibility criteria for the benefit. The review is being conducted alongside disabled people, charities and other stakeholders, and is expected to examine how the benefit can better serve claimants' needs while remaining financially sustainable. The review is due to conclude by autumn, with an interim report expected before parliament breaks for its summer recess on 16 July. PIP currently provides additional financial assistance to more than 4 million people across England and Wales. It supports working-age adults with long-term physical or mental health conditions or disabilities, helping to cover the extra costs they may face as a result of their condition. Unlike income-related benefits such as Universal Credit or Pension Credit, PIP is unaffected by a claimant's wages, savings or wider financial situation. Instead, awards are determined by how a person's condition impacts their ability to perform everyday tasks and move about.