PIP changes explained in full as new disability benefit cuts unveiled in Spring Statement

Here we explain all the changes put forward in last week’s green paper for Personal Independence Payment (PIP) as the Chancellor details further spending plans today

Rachel Reeves shared her Spring Statement to Parliament today and it featured even more benefit cuts. Here is everything you need to know about the proposed changes.

The Chancellor delivered her Spring Statement to parliament and, alongside this, published a raft of documents which detail the government’s financial plans going forward. Last week, Labour’s Work and Pensions Secretary Liz Kendall announced major shake-up plans for the welfare system with major changes put forward for both Personal Independance Payment (PIP) and Universal Credit.

In today’s statement, Reeves said: «Last week the Secretary of State for Work and Pensions, set out this government’s plans to reform the welfare system. The Labour party is the party of work. We believe that if you can work, you should work. And if you can’t, you should be properly supported.

«This government inherited a broken system. More than 1,000 people qualify for PIP every single day. And one in eight young people are not in employment, education or training. If we do nothing, that means we are writing off an entire generation.»

The DWP will publish further details on the plans later today. However, it is likely that further clarifications and details will come after the consultation period has been completed. An impact assessment will also published today, which will confirm the exact number of people the changes will impact. It is reported that the assessment will warn that people will die as a result of the benefit cuts.

The Resolution Foundation believes the changes to PIP could result in between 800,000 and 1.2million losing support of between £4,200 and £6,300 per year by 2029-30. Here we explain all the changes put forward for the disability benefit in last week’s green paper as well as further announcements from today. Follow our Spring Statement 2025 live blog for the latest updates and to see how all the changes affect your money. What do you think? Let us know by emailing webnews@mirror.co.uk

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PIP changes explained

The disability benefit PIP was the focus of the government when it came to its proposals. The aim of the disability benefit is to help cover the extra costs of having a disability or a medical condition. PIP is not an out of work benefit, and it can be claimed whether you are working or not, and have savings.

Last week, Work and Pensions Secretary Liz Kendall confirmed that the Labour government wanted to tighten the eligibility criteria and review the assessment process.

To have a successful claim for PIP, you normally need to undertake an assessment which is used to determine what tasks you are struggling with and how your condition impacts your day-to-day life. This is completed using a points system.

You currently need between eight and 11 points to get the standard daily living or mobility part of PIP. You get the higher rate if you score 12 points or more. However, under changes, you will need a minimum of four points in at least one activity to qualify for the daily living part of PIP from November 2026.

This means that claimants will need to show greater difficulty when completing some tasks, such as washing, eating and getting dressed, to be eligible to claim PIP. Whilst they won’t affect those who currently have an entitlement, it will affect people when it comes to reapplying or being reassessed after the new rules come into force. The assessment for the PIP mobility component is not changing.

Alongside this, people with health conditions that are permanent or will get worse will not have to be reassessed under the new plans – but other claimants could face more frequent reassessments. There will not be a set list of conditions that will be eligible for this, and it will decided on a case-by-case basis. If you’re terminally ill, you normally get PIP automatically without having an assessment, and this will remain the same going forward.

Other changes announced include the majority of PIP assessments being done face-to-face going forward, rather than over the phone or through video. The Government said «reasonable adjustments» will still be made for people who cannot attend a face-to-face assessment.