Find out what’s new with the PIP beneficiaries who will lose £975 in income when payments are replaced with vouchers. The DWP’s plans to change the Personal Independence Allowance have caused a lot of worry among claimants and support groups.
PIP Beneficiaries Face £975 Income Gap When Payments Replaced with Vouchers
The UK government wants to make big changes to how benefits are given to people with disabilities and long-term health problems. People who want to get PIP benefits have to get tests to see how their health affects their daily lives. The payment comes in two parts and is made every four weeks.
At the moment, PIP gives up to £737 a month to help with the extra costs that come with being disabled. The new plan, on the other hand, could replace regular cash payments with vouchers and grants, especially for buying treatments and tools. Some people are worried that this change could mean a big income gap for people who are disabled.
Reports On PIP Beneficiaries Face £975 Income Gap
Scope’s “Disability Price Tag” study says that households with disabled members need an extra £975 a month to keep up the same level of living as families without disabled members. This adds up to about £11,700 a year, which is about the same amount that disabled people have to pay extra for things like therapies, adaptive tools, and daily living costs.
Mike Adams, CEO of a disability group and founder of EnableAll, has talked about the many and often large costs that come with having a disability. EnableAll is an online market that is available to people with disabilities and wants to set new standards for accessibility. These costs affect more than just mobility aids. They also affect everyday things like vacation accommodations that are easy to get to, higher insurance rates, and specialized delivery services.
Also See:- DWP Considered Voucher Based System: Cash Payment Will Be Stopped from This Month
Reason of PIP Voucher Over Cash Payment
The changes are meant to cut costs and lower claims. But this might make things harder for crippled people. It could also make a system that is already hard to use even harder to use by adding more paperwork. Mel Stride, who is secretary for work and pensions, said that people get thousands of pounds every month, which is not true. After that, he fixed it every year. It sounds like it would be easy to get rewards.
The claimant often has trouble getting in touch with the Department for Work and Pensions, and forms are hard to fill out because of their complicated health problems. Plus, this plan doesn’t take into account the fact that many conditions last a lifetime. It takes away choices and makes it seem like disabled people can’t handle their money or figure out what’s best for them.
What Issues Will PIP Claimant Face If Cash Payment Is Shifted to Vouchers?
Many disabled people could be hurt by letting them only claim a certain fee. They might not have extra cash on hand to pay up front and wait for the government to reimburse them. This could be hard for people who get PIP because most of them use it to pay their rent and bills. It has been found that disabled households need £975 more each month to live than non-disabled families.
PIP is claimed by about 2.6 million people, and every year that number goes up. Every month, 33,000 new claims are made, which is twice as many as before the COVID-19 outbreak. Almost a quarter of people in the UK have a disability or health problem. The government says that over the next five years, spending on benefits could rise by 63%. Also, the ease of entry to online shopping platforms is still a big problem.
All We Know
Campaigners say that cash payments are important because they give people the freedom to deal with sudden and unexpected needs that come up because of their handicap. They also say that vouchers and grants might not be enough to cover the unknown costs or give people the freedom that cash payouts offer. For now, though, the government wants to stop giving out cash and start giving out vouchers for things like therapy and one-time payments for home improvements.
In other words, people need to show proof of expenses like hospital bills or transportation costs in order to get paid. Although the DWP wants to lower costs with the planned PIP reforms, some critics say that these changes could make it harder for disabled people to afford the things they need to stay independent and meet their basic needs.