During her Spring Statement to the House of Commons earlier today (Wednesday 26 March), Chancellor of the Exchequer Rachel Reeves announced that the UK Government has decided to freeze the Universal Credit (UC) health element for existing claimants until 2029/30. For new claims, it will be reduced to £50 a week in 2026-27 and then frozen until 2029-30.
This follows the government’s proposal last week to delay access to the health element of UC until the age of 22, a policy set out in its consultation paper ‘Pathways to Work: Reforming Benefits and Support to Get Britain Working’. The UC health element is designed to provide additional financial support for individuals with health conditions or disabilities that mean they can’t work, which will include many young adults who have been living with life-limiting conditions since childhood.
The government has also published the outcome of its work to assess the impact of its proposed welfare reforms. The government estimates there will be an additional 250,000 people (including 50,000 children) in relative poverty after housing costs in 2029/30 as a result of modelled changes to social security, compared to the baseline projections. These changes will affect people living across the UK.
Nick Carroll, Chief Executive of Together for Short Lives said: “Coming on top of cuts to the Universal Credit limited capability for work related activity component for new claimants – and the decision to delay access to the health element of Universal Credit until the age of 22 – today’s news is a further blow to seriously ill young adults who are unable to work because of a life-limiting or life-threatening condition.
Already feeling abandoned and overwhelmed by a system in which their access to lifeline health and social care depends on where they live, seriously ill young people now face the prospect of having to struggle even harder to make ends meet. This at a time when, for many, their health is deteriorating and their costs increasing due to their growing number of needs.
“This government will simply not achieve its mission of national renewal by putting a greater number of vulnerable young people at risk of crisis as their incomes are cut.”
We know that many families of seriously ill children and young people will be worried by the the welfare cuts announced by ministers over the last few days. Our webpage on the benefits system is here to help.
