Disability Premium Compensation Scheme: IncomeTax Exemption Debate

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Department: HM Treasury

Disability Premium Compensation Scheme: IncomeTax Exemption

James Murray Excerpts
Monday 14th July 2025

(1 day, 19 hours ago)

Written Statements
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James Murray Portrait The Exchequer Secretary to the Treasury (James Murray)
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The Government will legislate to ensure that payments made across the UK under the Department for Work and Pension disability premium compensation scheme are exempt from income tax. This legislation will apply retrospectively from December 2024, when payments from the scheme started.

[HCWS815]