London Daily

Focus on the big picture.
Wednesday, Jan 07, 2026

UK Government Announces Controversial Disability Benefits Reform Amid Significant Cuts

UK Government Announces Controversial Disability Benefits Reform Amid Significant Cuts

Welfare Secretary Liz Kendall outlines a new plan that includes a £5 billion reduction in disability benefit spending by 2030.
Welfare Secretary Liz Kendall has unveiled a controversial package of reforms aimed at the disability benefits system, which includes a significant reduction of £5 billion in annual spending by the end of the decade.

This announcement was made in the context of Labour's ongoing efforts to reshape social policy while addressing the complexities of the social security system inherited from previous Conservative governments.

The proposed changes include promises to enhance the support available to vulnerable claimants, mainly through increased rates of universal credit.

Kendall emphasized the need for reform, stating that the current system has disincentives that must be addressed, along with a commitment to improving safeguards for those in need.

Unlike previous government narratives that framed benefit claimants negatively, Kendall refrained from evoking divisive cultural stereotypes in her address, presenting a more constructive outlook on benefit reform.

However, the confirmation of substantial cuts overshadowed these positive initiatives.

Advocacy groups and disability charities responded swiftly, with many labeling the cuts as unprecedented and detrimental.

Scope characterized the proposed reductions in disability benefits as the most drastic in UK history, surpassing cuts attempted under austerity measures previously enacted by former Chancellor George Osborne.

The announced reforms have been met with widespread criticism from various sectors.

Mental health charity Mind expressed concern that the changes would exacerbate the existing mental health crisis, while the Child Poverty Action Group warned that the reforms could undermine Labour's commitments to combat child poverty.

Food bank organizations highlighted that these cuts would conflict with Labour's promises to reduce reliance on food banks.

Analysis from think tanks, such as the Resolution Foundation, indicates that between 800,000 and 1.2 million recipients of personal independence payments may face annual support reductions ranging from £4,200 to £6,300 by the 2029-2030 timeline.

Existing claimants may receive some protections against these cuts, but the impact on the poorest populations in the UK is likely to be severe.

In a somewhat contrasting measure, a £3 increase in the standard rate of universal credit was welcomed, although it remains significantly lower than the previous pandemic relief of £20 per week.

This increment acknowledges the increasing number of disability claims stemming from individuals finding it challenging to manage on current benefit levels.

However, this increase is coupled with proposed £47 cuts to the incapacity element of universal credit for new claimants starting in 2026, effectively removing access to incapacity benefits for those under 22 years of age.

Notably, Kendall's reform package also includes design improvements to the benefit system, such as the 'right to try' guarantee, which allows claimants the opportunity to explore returning to work without losing their benefits.

This reflects an understanding within the government of the need for better benefit structuring, potentially contributing to a system that facilitates better outcomes for claimants.

Responses to the cuts have also highlighted internal challenges within Labour regarding its commitment to social justice against financial constraints.

The shadow welfare secretary, Helen Whately, criticized the modest reduction in spending, raising questions about the government's commitment to true reform while hinting at the potential for deeper cuts.

As discussions around these reforms continue, stakeholders within the disability advocacy community express growing concerns regarding the implications of these changes on vulnerable populations.
Newsletter

Related Articles

0:00
0:00
Close
Béla Tarr, Visionary Hungarian Filmmaker, Dies at Seventy After Long Illness
UK and France Pledge Military Hubs Across Ukraine in Post-Ceasefire Security Plan
Prince Harry Poised to Regain UK Security Cover, Clearing Way for Family Visits
UK Junk Food Advertising Ban Faces Major Loophole Allowing Brand-Only Promotions
Maduro’s Arrest Without The Hague Tests International Law—and Trump’s Willingness to Break It
German Intelligence Secretly Intercepted Obama’s Air Force One Communications
The U.S. State Department’s account in Persian: “President Trump is a man of action. If you didn’t know it until now, now you do—do not play games with President Trump.”
Fake Mainstream Media Double Standard: Elon Musk Versus Mamdani
HSBC Leads 2026 Mortgage Rate Cuts as UK Lending Costs Ease
US Joint Chiefs Chairman Outlines How Operation Absolute Resolve Was Carried Out in Venezuela
Starmer Welcomes End of Maduro Era While Stressing International Law and UK Non-Involvement
Korean Beauty Turns Viral Skincare Into a Global Export Engine
UK Confirms Non-Involvement in U.S. Military Action Against Venezuela
UK Terror Watchdog Calls for Australian-Style Social Media Ban to Protect Teenagers
Iranian Protests Intensify as Another Revolutionary Guard Member Is Killed and Khamenei Blames the West
Delta Force Identified as Unit Behind U.S. Operation That Captured Venezuela’s President
Europe’s Luxury Sanctions Punish Russian Consumers While a Sanctions-Circumvention Industry Thrives
Berkshire’s Buffett-to-Abel Transition Tests Whether a One-Man Trust Model Can Survive as a System
Fraud in European Central Bank: Lagarde’s Hidden Pay Premium Exposes a Transparency Crisis at the European Central Bank
Trump Announces U.S. Large-Scale Strike on Venezuela, Declares President Maduro and Wife Captured
Tesla Loses EV Crown to China’s BYD After Annual Deliveries Decline in 2025
UK Manufacturing Growth Reaches 15-Month Peak as Output and Orders Improve in December
Beijing Threatened to Scrap UK–China Trade Talks After British Minister’s Taiwan Visit
Newly Released Files Reveal Tony Blair Pressured Officials Over Iraq Death Case Involving UK Soldiers
Top Stocks and Themes to Watch in 2026 as Markets Enter New Year with Fresh Momentum
No UK Curfew Ordered as Deepfake TikTok Falsely Attributes Decree to Prime Minister Starmer
Europe’s Largest Defence Groups Set to Return Nearly Five Billion Dollars to Shareholders in Twenty Twenty-Five
Abu Dhabi ‘Capital of Capital’: How Abu Dhabi Rose as a Sovereign Wealth Power
Diamonds Are Powering a New Quantum Revolution
Trump Threatens Strikes Against Iran if Nuclear Programme Is Restarted
Apple Escalates Legal Fight by Appealing £1.5 Billion UK Ruling Over App Store Fees
UK Debt Levels Sit Mid-Range Among Advanced Economies Despite Rising Pressures
UK Plans Royal Diplomacy with King Charles and Prince William to Reinvigorate Trade Talks with US
King Charles and Prince William Poised for Separate 2026 US Visits to Reinforce UK-US Trade and Diplomatic Ties
Apple Moves to Appeal UK Ruling Ordering £1.5 Billion in Customer Overcharge Damages
King Charles’s 2025 Christmas Message Tops UK Television Ratings on Christmas Day
The Battle Over the Internet Explodes: The United States Bars European Officials and Ignites a Diplomatic Crisis
Princesses Beatrice and Eugenie Join Royal Family at Sandringham Christmas Service
Fine Wine Investors Find Little Cheer in Third Year of Falls
UK Mortgage Rates Edge Lower as Bank of England Base Rate Cut Filters Through Lending Market
U.S. Supermarket Gives Customers Free Groceries for Christmas After Computer Glitch
Air India ‘Finds’ a Plane That Vanished 13 Years Ago
Caviar and Foie Gras? China Is Becoming a Luxury Food Powerhouse
Hong Kong Climbs to Second Globally in 2025 Tourism Rankings Behind Bangkok
From Sunniest Year on Record to Terror Plots and Sports Triumphs: The UK’s Defining Stories of 2025
Greta Thunberg Released on Bail After Arrest at London Pro-Palestinian Demonstration
Banksy Unveils New Winter Mural in London Amid Festive Season Excitement
UK Households Face Rising Financial Strain as Tax Increases Bite and Growth Loses Momentum
UK Government Approves Universal Studios Theme Park in Bedford Poised to Rival Disneyland Paris
UK Gambling Shares Slide as Traders Respond to Steep Tax Rises and Sector Uncertainty
×