Department for Work and Pensions

As of January 2025, there are 5,340 people currently in receipt of Personal Independence Payment (PIP) in the South Ribble Parliamentary Constituency. Of these claimants, 2,530 scored fewer than 4 points in the 10 Daily Living activities. The breakdown of award rates for Daily Living and Mobility can be found in Table 1 below.

The assessment of the Office for Budget Responsibility, published at the Spring Statement, is that most of the current claimants of PIP Daily Living who did not score four points in any of the activities at their last assessment will, nevertheless, because of behaviour changes, be awarded PIP Daily Living again after the proposed eligibility changes take effect.

There will be no immediate changes. We want to reassure anyone concerned that the changes to PIP eligibility and rebalancing of UC aren’t coming into effect immediately. Our intention is these changes will start to come into effect from April 2026 for UC and November 2026 for PIP, subject to parliamentary approval.

We will also guarantee that for those on UC, individuals with the most severe, life-long conditions, which mean a person cannot and will never work, will not need to be reassessed in future.

Our intention is that the PIP changes will apply to new claims and award reviews from November 2026, subject to parliamentary approval. If you are getting PIP now and could be affected by the changes we plan to make to eligibility, the changes will only apply at your next award review. The average award review is about three years. At your next review, you will be seen by a trained assessor or healthcare professional, and assessed on your individual needs and circumstance.

For those who are affected by the new eligibility changes, we are consulting on how best to support this group, including how to make sure health and eligible care needs are met. PIP is not based on your condition, it is based on the functional disability as the result of one or more conditions and it is the additional costs of sum of that disability that PIP is awarded for.

We also intend to launch a wider review of the PIP assessment led by the Minister for Social Security and Disability, and we will bring together a range of experts, stakeholders and people with lived experience to consider how best to do this and to start the process as part of preparing for a review. We will provide further details as plans progress.

Table 1: the volume of claimants in the South Ribble constituency split by award rate for Daily Living and Mobility components of PIP

Note:

• Figures have been rounded to the nearest 10

The information requested is not readily available and to provide it would incur disproportionate cost. This is because we only centrally record if a PIP claimant is abroad, not the individual country.

The total number of PIP claimants living abroad can be found on Stat Xplore. The requested data can be found in the ‘PIP Cases with Entitlement from 2019’ dataset. You can use the ‘Geography’ and ‘Month’ filters to restrict to claimants living abroad from 2020. You will need to expand ‘National – Regional – LA – OAs’, ‘DWP policy ownership’ and then select ‘Abroad’.

You can log in or access Stat-Xplore as a guest user. Guidance on how to use Stat-Xplore is also available here: Personal Independence Payment data on Stat-Xplore: user guide - GOV.UK.

The information requested is not readily available and to provide it would incur disproportionate cost. This is because we only centrally record if a PIP claimant is abroad, not the individual country.

The total number of PIP claimants living abroad can be found on Stat Xplore. The requested data can be found in the ‘PIP Cases with Entitlement from 2019’ dataset. You can use the ‘Geography’ and ‘Month’ filters to restrict to claimants living abroad from 2020. You will need to expand ‘National – Regional – LA – OAs’, ‘DWP policy ownership’ and then select ‘Abroad’.

You can log in or access Stat-Xplore as a guest user. Guidance on how to use Stat-Xplore is also available here: Personal Independence Payment data on Stat-Xplore: user guide - GOV.UK.

The information requested is not readily available and to provide it would incur disproportionate cost. This is because we only centrally record if a PIP claimant is abroad, not the individual country.

The total number of PIP claimants living abroad can be found on Stat Xplore. The requested data can be found in the ‘PIP Cases with Entitlement from 2019’ dataset. You can use the ‘Geography’ and ‘Month’ filters to restrict to claimants living abroad from 2020. You will need to expand ‘National – Regional – LA – OAs’, ‘DWP policy ownership’ and then select ‘Abroad’.

You can log in or access Stat-Xplore as a guest user. Guidance on how to use Stat-Xplore is also available here: Personal Independence Payment data on Stat-Xplore: user guide - GOV.UK.

This government strongly values the input of disabled people and representative organisations, and that is why we have brought forward this Green Paper and opened a public consultation. The consultation welcomes all views, and we hope that a wide range of voices will respond before it closes on the 30 June 2025.

We have published a full suite of accessible versions of the Green Paper to ensure that everyone can engage. Our schedule of virtual and in-person public consultation events across the country will further facilitate input and help us to hear from disabled people and stakeholders directly. The events accommodate any reasonable adjustments for individuals who wish to attend, including re-imbursing travel costs and arranging accessible venues and accessibility requirements such as BSL interpreters or stenographers for attendees.

We are continuing to facilitate other ways to involve stakeholders and disabled people in our reforms. In addition to the consultation itself, we will establish ‘collaboration committees’ that bring groups, including disabled people and other experts, together for specific work areas. Our wider review of the PIP assessment, led by myself, will also bring together a range of experts, stakeholders and people with lived experience.

This government strongly values the input of disabled people and representative organisations, and that is why we have brought forward this Green Paper and opened a public consultation. The consultation welcomes all views, and we hope that a wide range of voices will respond before it closes on the 30 June 2025.

We have published a full suite of accessible versions of the Green Paper to ensure that everyone can engage. Our schedule of virtual and in-person public consultation events across the country will further facilitate input and help us to hear from disabled people and stakeholders directly. The events accommodate any reasonable adjustments for individuals who wish to attend, including re-imbursing travel costs and arranging accessible venues and accessibility requirements such as BSL interpreters or stenographers for attendees.

We are continuing to facilitate other ways to involve stakeholders and disabled people in our reforms. In addition to the consultation itself, we will establish ‘collaboration committees’ that bring groups, including disabled people and other experts, together for specific work areas. Our wider review of the PIP assessment, led by myself, will also bring together a range of experts, stakeholders and people with lived experience.

The information required to make such an assessment is not readily available. This is because to identify survivors of domestic abuse would require manual processing of claimant information, and the information would only be available where it is included in departmental records.

The shared accommodation rate does not apply in temporary accommodation.

Temporary Accommodation is defined as housing that a claimant has been placed in by a local authority or housing association to meet the local authority’s statutory homelessness duty or to prevent homelessness.

Costs for housing support to those in private rental accommodation are subject to the Local Housing Allowance. The Shared Accommodation Rate (SAR) applies to Housing Benefit or Universal Credit claimants who are under 35 years of age, living on their own, and renting privately.

Veterans are able to access the Armed Forces Compensation Scheme (AFCS), which provides compensation for injury or illness caused or made worse by Service on or after 6 April 2005. For serious injuries and illness, the AFCS provides a tax-free index-linked income stream known as the Guaranteed Income Payment (GIP). The Armed Forces Independence Payment (AFIP) is an additional allowance which provides financial support for eligible service personnel and veterans who have an AFCS GIP. It is an alternative to PIP (and other disability benefits), based on separate eligibility criteria, but paid at the same rate as the combined enhanced daily living and mobility components. The eligibility criteria for AFIP is not due to change.

If a veteran is advised to claim PIP rather than AFIP, it is most likely due to the fact that they would not be eligible for AFIP. If the long-term condition or disability is not service-related or if the GIP is below 50% of the veteran's salary, then PIP would be considered rather than AFIP.

No assessment has yet been made.

Information on the impacts of the Pathways to Work Green Paper will be published in due course, and some information was published alongside the Spring Statement. These publications can be found in ‘Pathways to Work: Reforming Benefits and Support to Get Britain Working Green Paper’(opens in a new tab).

A further programme of analysis to support development of the proposals in the Green Paper will be developed and undertaken in the coming months.

The government is committed to a sustainable, long-term approach to drive up opportunity and drive down poverty across the UK. As announced by the Chancellor in the Autumn Budget, a new Fair Repayment Rate has now been introduced from 30 April 2025, reducing the Universal Credit (UC) overall deductions cap from 25% to 15% of a customer’s UC standard allowance. This measure will help approximately 1.2 million of the poorest households benefit by an average of £420 a year.

The Department has also committed to reviewing Universal Credit to make sure it is doing the job we want it to, to make work pay and tackle poverty.

A key part of UC’s core design is that it supports customers with their finances. As part of our work to review UC, we are working with expert stakeholders to understand the impacts and causes as well as considering the ways in which we can better support customers who experience irregular or fluctuating household income.

Information on the impacts of the Pathways to Work Green Paper will be published in due course, and some information was published alongside the Spring Statement. These publications can be found in ‘Pathways to Work: Reforming Benefits and Support to Get Britain Working Green Paper’(opens in a new tab).

A further programme of analysis to support development of the proposals in the Green Paper will be developed and undertaken in the coming months.

No assessment has been made.

Information on the impacts of the Pathways to Work Green Paper will be published in due course, and some information was published alongside the Spring Statement. These publications can be found in ‘Pathways to Work: Reforming Benefits and Support to Get Britain Working Green Paper’(opens in a new tab).

A further programme of analysis to support development of the proposals in the Green Paper will be developed and undertaken in the coming months.

No assessment has been made.

Information on the impacts of the Pathways to Work Green Paper will be published in due course, and some information was published alongside the Spring Statement. These publications can be found in ‘Pathways to Work: Reforming Benefits and Support to Get Britain Working Green Paper’(opens in a new tab).

A further programme of analysis to support development of the proposals in the Green Paper will be developed and undertaken in the coming months.

No assessment has been made.

Information on the impacts of the Pathways to Work Green Paper will be published in due course, and some information was published alongside the Spring Statement. These publications can be found in ‘Pathways to Work: Reforming Benefits and Support to Get Britain Working Green Paper’(opens in a new tab).

A further programme of analysis to support development of the proposals in the Green Paper will be developed and undertaken in the coming months.

The Department for Work and Pensions (DWP) recognises the benefits of further Universal Credit data sharing with Local Authorities to support vulnerable citizens.

DWP is working on a project to do exactly this, and aims to have delivered a test version to a small group of LAs by Spring 2026. Subject to this test being successful, we will roll this out to all LAs during the rest of 2026.

No assessment has been made.

Information on the impacts of the Pathways to Work Green Paper will be published in due course, and some information was published alongside the Spring Statement. These publications can be found in ‘Pathways to Work: Reforming Benefits and Support to Get Britain Working Green Paper’(opens in a new tab).

A further programme of analysis to support development of the proposals in the Green Paper will be developed and undertaken in the coming months.

PIP is an important, non-means tested benefit for disabled people and people with health conditions – regardless of whether they are in or out of work. However, the rate of increases in claims and expenditure is not sustainable and has outstripped the growth in disability prevalence. Changes are needed that will control the spend on the welfare bill, while continuing to support those people with higher needs relating to their long-term health condition or disability.

In our Pathways to Work Green Paper we announced that we will introduce a new eligibility requirement to ensure that only those who score a minimum of four points in at least one daily living activity will be eligible for the daily living component of PIP. This requirement will need to be met in addition to the existing PIP eligibility criteria.

This will focus PIP more on those with the greatest needs, who are unable to complete activities at all, or who require more help from others to complete them. This means that people who have lower needs only in the daily living activities (scoring three or less for each activity) will no longer be eligible for the daily living component of PIP.

Our intention is that this change will apply to new claims and award reviews from November 2026, subject to parliamentary approval.

The basic State Pension was available for those who reached State Pension age before 6 April 2016.

Men were eligible for basic State Pension at age 65. Women born prior to 6 April 1950 were eligible for the basic State Pension at age 60.

Following changes to the State Pension age due to the Pensions Act 1995, women born from 6 April 1950 to 5 April 1953 were eligible for the basic State Pension on a phased basis between 6 May 2010 and 6 March 2016. They had a State Pension age of between 60 years and one day and 63 years.

Details can be found in Table 1 here: https://assets.publishing.service.gov.uk/media/5a7f02e640f0b62305b84929/spa-timetable.pdf

In relation to the recent judgment in Secretary of State for Work and Pensions v MJ [2025] UKUT 035 (AAC), the Secretary of State will not be seeking permission to appeal the outcome.

We have committed to introduce a new requirement that, in addition to the existing eligibility criteria, claimants must score a minimum of four points in at least one daily living activity to be eligible for the daily living component of Personal Independence Payment. There will be no immediate changes. Our intention is that the changes will apply to new claims and award reviews that are undertaken from November 2026, subject to parliamentary approval.

For those who are affected by the new eligibility changes, we are consulting on how best to support this group, including how to make sure health and eligible care needs are met.

Private sector (non-government) dashboards will be launched when the Secretary of State is satisfied that the dashboards ecosystem is ready to support widespread use by the general public, following consultation with the Money and Pensions Service, The Pensions Regulator and the Financial Conduct Authority. Insights gained from the launch and operation of the MoneyHelper will help inform this.

The Secretary of State will announce the date for the public availability of private sector dashboards at least six months in advance, in line with the Pensions Dashboards Regulations 2022.

The UK Government takes its international obligations seriously and values the insights provided by Amnesty International and notes their recommendations.

The UK Government is committed to tackling poverty across the UK. Good work can significantly reduce the chances of people falling into poverty so this will be the foundation of our approach. The proposals in our plan for Making Work Pay and our Get Britain Working White Paper and our urgent work to bring forward our Child Poverty Strategy reflect our commitment to delivering lasting change.

Alongside this as announced in our Pathways to Work Green Paper we will establish a new guarantee of support for all disabled people and people with health conditions claiming out of work benefits who want help to get into or return to work.

Reducing ill health at work is an important area of focus for the Health and Safety Executive (HSE) as outlined in their strategic objectives. One of the ways this is achieved is supporting employers to protect their workers’ health and keep them in the workforce. Having considered the impact of shift work on health and safety, HSE has published free guidance for employers to support them in managing the risk (Managing shift work [HSG 256]).

Under the Health and Safety at Work etc. Act 1974 all employers have a duty, so far as it is reasonably practicable, to protect the health, safety, and welfare at work of all their employees. Specifically, the Management of Health and Safety at Work Regulations 1999 require employers to assess health and safety risks to employees and to put in place arrangements to control those risks. Therefore, if an employer assesses night work as a risk they should introduce control measures including those outlined in the guidance.

No such assessment has been made.

DWP is fully committed to the prevention of abuse and ensuring that victims/survivors get the support they need when they need it. Supporting victims and survivors of domestic abuse can help bring down barriers to help citizens towards work.

DWP Jobcentres are a safe space with domestic abuse trained Work Coaches who provide support to victims/survivors of domestic abuse, for example assisting with new Universal Credit claims, work-related easements, special provisions for temporary accommodation, same day advances, and signposting to expert third-party services.

The Department has not yet made such an assessment and does not hold the requested information. We will consider the impacts of our changes for groups which may be affected as part of our wider consideration of responses to the consultation as we develop detailed proposals for change. Following the consultation, we will bring forward a White Paper in autumn 2025 to set out our full proposals.

We are clear in the Green Paper that the social security system will always be there for those who cannot work. As part of making changes to the payment rates in Universal Credit, we will aim to guarantee that those with the most severe, lifelong conditions who will never be able to work have their incomes protected.

The Department has not yet made such an assessment and does not hold the requested information. We will consider the impacts of our changes for groups which may be affected as part of our wider consideration of responses to the consultation as we develop detailed proposals for change. Following the consultation, we will bring forward a White Paper in autumn 2025 to set out our full proposals.

We are clear in the Green Paper that the social security system will always be there for those who cannot work. As part of making changes to the payment rates in Universal Credit, we will aim to guarantee that those with the most severe, lifelong conditions who will never be able to work have their incomes protected.

The last Labour Government lifted over one million pensioners out of poverty, and this Government – despite having to make the tough decisions to deal with our dire inheritance remains absolutely committed to supporting pensioners and giving them the dignity and security they deserve in retirement.

Winter Fuel Payments will continue to be paid to pensioner households with someone receiving Pension Credit or other qualifying means-tested benefits or tax credits. They will continue to be worth £200 for eligible households, or £300 for eligible households with someone aged 80 or over.

The latest Pension Credit applications and awards statistics were published on 27 February and are available at: https://www.gov.uk/government/statistics/pension-credit-applications-and-awards-february-2025/pension-credit-applications-and-awards-february-2025

The statistics show that the Department received 235,000 Pension Credit applications in the 30 weeks since the Winter Fuel Payment announcement – an 81% increase on the comparable period in 2023/24 and made 117,800 new Pension Credit awards – a 64% increase or 45,800 extra awards on the comparable period in 2023/24.

We are honouring our commitment to the Triple Lock. In April, the basic and new State Pensions increased by 4.1% and some 12 million pensioners will see an increase of up to £470 over this financial year. Our commitment to the Triple Lock also means that spending on State Pensions is forecast to rise by around £31 billion over this Parliament.

And while the State Pension is the foundation of state support for older people, other help is also available for low-income pensioners. This includes Cold Weather Payments in England & Wales; help with energy bills via the Warm Home Discount scheme as well as the Household Support Fund in England which we extended for a further year with funding of £742 million, with corresponding funding for the Devolved Governments through the Barnett formula.

The Pathways to Work Green Paper, published in March 2025, sets out our plans to reform health and disability benefits and employment support and opened a consultation on certain reforms. The consultation extends to Scotland, but the proposals will only apply to UK Government’s areas of responsibility. DWP Ministers are engaging with Scottish Government throughout the consultation period and beyond.

The interactions of the reformed system, in particular the abolition of the Work Capability Assessment and the introduction of a PIP passporting model and the implications for Devolved Governments, will need to be fully considered before being implemented. This will be particularly important in Scotland as PIP is devolved and has been replaced by Adult Disability Payment, so we will carefully consider how entitlement to the UC health element will be determined for people in Scotland.

DWP currently treats Scottish Government’s disability benefits in the same way as the equivalent DWP benefits for the purposes of reserved premia and additions. Whilst this will be kept under review, it will in any event be necessary for the UK Government to ensure that people in Scotland are not disadvantaged in the reserved benefit system compared with people in England and Wales.

The Pathways to Work Green Paper, published in March 2025, sets out our plans to reform health and disability benefits and employment support and opened a consultation on certain reforms. The consultation extends to Scotland, but the proposals will only apply to UK Government’s areas of responsibility. DWP Ministers are engaging with Scottish Government throughout the consultation period and beyond.

The interactions of the reformed system, in particular the abolition of the Work Capability Assessment and the introduction of a PIP passporting model and the implications for Devolved Governments, will need to be fully considered before being implemented. This will be particularly important in Scotland as PIP is devolved and has been replaced by Adult Disability Payment, so we will carefully consider how entitlement to the UC health element will be determined for people in Scotland.

DWP currently treats Scottish Government’s disability benefits in the same way as the equivalent DWP benefits for the purposes of reserved premia and additions. Whilst this will be kept under review, it will in any event be necessary for the UK Government to ensure that people in Scotland are not disadvantaged in the reserved benefit system compared with people in England and Wales.

The Pathways to Work Green Paper, published in March 2025, sets out our plans to reform health and disability benefits and employment support and opened a consultation on certain reforms. The consultation extends to Scotland, but the proposals will only apply to UK Government’s areas of responsibility. DWP Ministers are engaging with Scottish Government throughout the consultation period and beyond.

The interactions of the reformed system, in particular the abolition of the Work Capability Assessment and the introduction of a PIP passporting model and the implications for Devolved Governments, will need to be fully considered before being implemented. This will be particularly important in Scotland as PIP is devolved and has been replaced by Adult Disability Payment, so we will carefully consider how entitlement to the UC health element will be determined for people in Scotland.

DWP currently treats Scottish Government’s disability benefits in the same way as the equivalent DWP benefits for the purposes of reserved premia and additions. Whilst this will be kept under review, it will in any event be necessary for the UK Government to ensure that people in Scotland are not disadvantaged in the reserved benefit system compared with people in England and Wales.

The information requested is not readily available and to provide it would incur disproportionate cost.

The information requested is not readily available and to provide it would incur disproportionate cost.

The information requested is not readily available and to provide it would incur disproportionate cost. This is because we only centrally record if a PIP claimant is abroad, not the individual country.

For eligibility to PIP, you can be abroad for up to 13 weeks without your PIP claim being affected. This is 26 weeks if you are going abroad for medically necessary treatment. We have no current plans to change the eligibility rules.

The total number of PIP claimants living abroad can be found on Stat Xplore. The requested data can be found in the ‘PIP Cases with Entitlement from 2019’ dataset. You can use the ‘Geography’ and ‘Month’ filters to restrict to claimants living abroad from 2020. You will need to expand ‘National – Regional – LA – OAs’, ‘DWP policy ownership’ and then select ‘Abroad’.

You can log in or access Stat-Xplore as a guest user. Guidance on how to use Stat-Xplore is also available here: Personal Independence Payment data on Stat-Xplore: user guide - GOV.UK.

The information requested is not readily available and to provide it would incur disproportionate cost. This is because we only centrally record if a PIP claimant is abroad, not the individual country.

For eligibility to PIP, you can be abroad for up to 13 weeks without your PIP claim being affected. This is 26 weeks if you are going abroad for medically necessary treatment. We have no current plans to change the eligibility rules.

The total number of PIP claimants living abroad can be found on Stat Xplore. The requested data can be found in the ‘PIP Cases with Entitlement from 2019’ dataset. You can use the ‘Geography’ and ‘Month’ filters to restrict to claimants living abroad from 2020. You will need to expand ‘National – Regional – LA – OAs’, ‘DWP policy ownership’ and then select ‘Abroad’.

You can log in or access Stat-Xplore as a guest user. Guidance on how to use Stat-Xplore is also available here: Personal Independence Payment data on Stat-Xplore: user guide - GOV.UK.

The Get Britain Working White Paper set out the biggest reforms to employment support for a generation to support our ambition to achieve an 80% employment rate.

The Department for Work and Pensions will shift from being a department for employment support and welfare to being a department for work. This means a new, locally led system of work and health support being available for those who are unemployed, bringing together existing locally delivered employment support as a single coherent offer that is part of areas’ local growth plans.

In the Autumn 2024 Budget, £240 million funding for the White Paper measures was announced. This funding is helping us deliver and build on labour market reforms to Get Britain Working. The funding included:

• £55m funding for both the digital development of the new public employment and careers service and the tests and trials for its development.

• £170m for 16 trailblazers, 8 testing delivery of the Youth Guarantee in areas across England and 8 to tackle economic inactivity through increased engagement and tailored approaches in England and Wales.

• An additional £15m to support trailblazers and development of local GBW plans.

These measures complement contracted employment support for the long-term unemployed.

The Occupational and Personal Pension Schemes (Conditions for Transfers) Regulations 2021 were introduced to protect pension savers against the threat of scams by enabling trustees to pause or halt a transfer in certain circumstances.

DWP conducted a year long review of the regulations in 2022, as agreed with the Work and Pensions Select Committee.

The review concluded that the measures had been largely successful in delivering the policy intent, approximately 2000 potentially fraudulent transfers were blocked during the period considered and industry participants confirmed that there remained an ongoing need for the enhanced protection the regulations provide.

However, whilst feedback concerning the protections was positive, findings of the review also suggested that the practical application of some parts of the regulations may have caused administrative issues in certain areas.

DWP officials are conducting work with other government departments and industry representatives to consider if changes could be made to improve the transfer process whilst ensuring that appropriate protections remain in place.

In line with the requirements of the Public Sector Equality Duty, an Equality Analysis was produced and considered as part of the ministerial decision-making process. This was published on 13 September and is available online: Equality Impact Assessments produced for targeting Winter Fuel Payment - GOV.UK . The Department will continue to monitor outcomes for pensioners.

Following commitments made in response to the review, DWP has conducted extensive work with the FCA, HMT, The Pensions Regulator and the pensions industry to consider if the practical application of the transfer regulations could be improved, whilst retaining appropriate levels of protection for pension scheme members.

DWP Officials continue to develop this work and we will look to formally share the outcome as soon as is practical.

An Impact Assessment will be published alongside the Pension Schemes Bill.

The Government inherited a system where busy carers, already struggling under a huge weight of responsibility, have been left having to repay large sums of overpaid Carer’s Allowance (CA) – sometimes worth thousands of pounds.

We needed to understand exactly what had gone wrong so we could set out our plan to put things right. That is why we launched an Independent Review of earnings-related overpayments of CA. The review is investigating how overpayments of CA have occurred; what can best be done to support those who have accrued them; and how to reduce the risk of these problems occurring in future. It is anticipated that the Independent Review will arrive at its conclusions this summer. We will, of course, carefully consider the findings of the review and its recommendations. Both the report from the Independent Review and the Government’s response will be published.

We have been clear (including in the Terms of Reference) that the review is not a substitute for legal proceedings (Mandatory Reconsiderations/Appeals) and the existence of the review does not prejudice any business-as-usual activity by DWP. It would not be appropriate to speculate on the findings of the review or any potential outcomes.

Where overpayments do occur, the Department has a duty to the taxpayer to protect public funds and to ask for money to be paid back. We remain committed to working with anyone who is struggling with their repayment terms and will always look to negotiate sustainable and affordable repayment plans.

The causes of homelessness are multi-faceted and often complex; they interact dynamically making it very difficult to isolate the relative importance of individual factors. We work closely with other departments, including MHCLG, to ensure the impacts of Local Housing Allowance (LHA) on homelessness are considered.

This included consideration in last year’s Autumn Budget not to increase LHA rates for 2025/26. Rental data, the impacts of LHA rates, rate increases in April 2024, and the wider fiscal context were all considered. The April 2024 one-year LHA increase cost an additional £1.2bn in 2024/25 and approximately £7bn over 5 years.

We continue to work across Government on the development of the Homelessness and Rough-sleeping strategy. Any future decisions on LHA policy will be taken in the context of the Government’s missions, goals on housing and the fiscal context.

For those who need further support, Discretionary Housing Payments (DHPs) are available from local authorities. DHPs can be paid to those entitled to Housing Benefit or Universal Credit who face a shortfall in meeting their housing costs.

Estimating the impact of deductions on trends in poverty is complex as stopping deductions would result in a build-up of arrears of the range of debts a customer has and stop vital obligations such as child maintenance being paid.

The government is committed to a sustainable, long-term approach to drive up opportunity and drive down poverty across the UK. As announced by the Chancellor in the Autumn Budget, a new Fair Repayment Rate has now been introduced from 30 April 2025, reducing the Universal Credit (UC) overall deductions cap from 25% to 15% of a customer’s UC standard allowance. This measure will help approximately 1.2 million of the poorest households benefit by an average of £420 a year.

The Department has doubled the number of people supporting this important activity and is pursuing digital routes to support processing Voluntary National Insurance Contributions.