Government welfare review could reduce young people's benefits

Summarised from 2 outlets · Updated 13 Nov, 13:02 · Archive

A Government-commissioned review is expected to recommend reducing welfare payments for some under-25s in what could be the biggest overhaul of the benefits system since Universal Credit was introduced in 2013. The review, carried out by Alan Milburn, examined the number of young people not in education, employment or training (Neets), which currently stands at around one million.

According to the outlets, Milburn's report is expected to recommend that young people classed as Neets can no longer claim the health element of Universal Credit or Personal Independence Payment (PIP). Instead, the money they receive would be based on the same basic rate as Universal Credit. Milburn has acknowledged that this could leave some young claimants receiving less money, although exact amounts will not become clear until the Government confirms its plans early next year.

Under the proposals, some young people could instead qualify for a new 'additional cost allowance' to help cover everyday expenses linked to their conditions. However, fewer people are expected to qualify for this support. The review is due to be published on 17 November.

How it is being reported

• 'Big change is needed' says Burnham as major DWP shake-up could see benefits cutSome young people under the age of 25 could see their benefit payments reduced under radical new welfare plans expected to be unveiled by the Government next week.Worcester News · 13 Nov, 12:22
• 'Big change is needed' says Burnham as major DWP shake-up could see benefits cutSome young people under the age of 25 could see their benefit payments reduced under radical new welfare plans expected to be unveiled by the Government next week.Malvern Gazette · 13 Nov, 12:22

In this story: Alan Milburn · Department for Work and Pensions

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