Disability benefit cuts could push more people into debt and poverty. Read more about CAP’s appeal here.
Significant proposed changes to welfare cuts, particularly Personal Independence Payment (PIP) eligibility criteria by the UK Government, could push thousands more disabled people and those with long-term health conditions into financial hardship and debt. This is a concern for CAP as we work alongside local churches to help individuals struggling to make ends meet.
Under the proposed disability cuts, individuals would need to score a minimum of four points in a single daily living activity to qualify for the daily living component of PIP. This represents a substantial shift from the current system, where points can be accumulated across multiple activities, changing how support is accessed.
The changes to PIP will also impact people currently receiving the carers’ entitlement of Universal Credit and Carer’s Allowance, as over half of those awards are linked to PIP. Approximately 150,000 carers are set to lose financial support worth over £4,000 annually.
Stewart McCulloch, Chief Executive Officer at CAP said:
CAP is still deeply concerned about people with additional needs who are on low incomes…Funding for tailored, free face-to-face debt advice support designed to help people with additional needs is also shrinking. Our worry is that some of the most vulnerable may fall into debt and not have the tailored debt support they need to get them back on their feet.
At CAP, we see firsthand the impact of poverty, and these potential changes are deeply worrying. While the Government aims to encourage more people into employment, we fear these adjustments could have the opposite effect. They risk leaving vulnerable individuals without the vital support they need to manage the unavoidable extra costs of having a disability, such as specialist equipment, accessible transport or increased utility bills. These significant additional expenses are often referred to in the Disability Price Tag, a clear indicator of the financial inequality faced by disabled households.
Disabled people are at greater risk of deep, long-term hardship, which makes it harder to escape poverty. Statistics show that:
£1,010
extra per month: the average cost for disabled households to have the same standard of living as non-disabled households
£5bn
in proposed welfare cuts will push 250,000 people into poverty
1 in 3
CAP clients receive disability benefits
The proposed benefit cuts threaten to push thousands more disabled people into unmanageable debt and deeper poverty. This shows the critical need for compassionate, practical, face-to-face support for those already facing the extra costs of living with a disability.
At CAP, we’re committed to supporting the people who will be affected by welfare cuts. Our free, expert debt help, delivered by local church-based and Bradford support hub teams, provides holistic care and tailored support that helps people like Angela–a mum living with sight loss, now debt-free–navigate their financial challenges and rebuild their lives.
Society is not set up for people like me. But CAP is.
In light of this, CAP has launched an urgent appeal backed by match funding, to fund its face-to-face services that support people with complex needs, just as demand is set to soar.
This appeal aims to provide life-changing help by addressing both the practical and emotional needs of those in financial crisis.
