PIP and DLA claimants will see two key payment differences in December ahead of the looming threat of major benefit reforms in the spring (Image: Getty)

PIP and DLA claimants to see two December payment changes ahead of 2025 shake-up

by · Birmingham Live

PIP and DLA claimants are to see December payment changes ahead of spring reforms. Those on disability benefits such as Personal Independent Payment and Disability Living Allowance will see the two key differences.

It comes amid new uncertainties over a potential crackdown on disability benefits along with the incapacity payments available on top of Universal Credit for having 'limited capability for work.' The DWP has already unveiled its Get Britain Working white paper and this will be followed by a shake-up of health and disability benefits to be announced in spring 2025.

A new Channel 4 documentary, Britain's Benefits Scandal, has examined the soaring number of people living on sickness benefits with no incentive to return to work and triggered a fresh debate on how Labour should tackle this. In the meantime, inflation-based benefits increases have been confirmed for next April, and payments will see a couple of changes this December.

READ MORE:

Firstly, those on PIP, DLA and a number of other benefits are to receive the annual £10 Christmas bonus this week. It may appear separately in your account with the code DWP XB alongside it or you could simply get £10 added to your next benefit payment, which has already happened with some who received their Carer's Allowance on Monday. The bonus was introduced in 1972 and there are ongoing calls for it to be increased - if it had risen in line with inflation, it would now be more than £115.

The second change will be payment dates being moved around at Christmas because of the festive bank holidays. Christmas Day is on Wednesday, December 25, and Boxing Day is on Thursday, December 26, and as both are bank holidays, any payments scheduled to fall on those dates are set to go in on the previous working day, which is Christmas Eve on Tuesday, December 24. In addition, any payments due on New Year's Day, Wednesday, January 1, will go into accounts on Tuesday, December 31, instead.

Although new payment increases have been confirmed for next April, suggesting the current tiers of PIP and DLA will remain the same for now at least, a huge overhaul is looming, with Labour confirming it will shift the focus of all disability and incapacity benefits onto moving into work. Among the changes, it has already confirmed it will reform the work capability assessment used to decide if someone is exempt from getting a job because of a health condition or disability and instead receives an extra £416 a month on top of their Universal Credit. It's expected that these sickness payments for 'limited capability for work' would be scrapped completely, as was previously proposed by the Conservatives.

Labour's new white paper on Get Britain Working confirms the huge shake-up on the horizon, stating: "We are committed to reforming the system of health and disability benefits so that it promotes and enables employment among as many people as possible. The system must also work to reduce poverty for disabled people and those with health conditions and support disabled people to live independently. It is also vital to ensure that the system is financially sustainable in the long term.

"So, alongside our Get Britain Working white paper, we want to engage with disabled people, and others with expertise and experience on these issues, to consider how to address these challenges and build a better system. We will be working to develop proposals for long-term reform in the months ahead and will set them out for further consultation and engagement in a Green Paper in spring 2025.

"This government is committed to putting the views and voices of disabled people at the heart of all that we do, so we will fully consult on these proposals with disabled people and representative organisations."

Get breaking news on BirminghamLive WhatsApp. Join our dedicated community for the latest updates. You can find out more in our Money Saving Newsletter, which is sent out daily with all the updates you need to know on pensions, PIP, Universal Credit, benefits, finances, bills, and shopping discounts.