Health and Disability Reform - Statement

Part of the debate – in the House of Lords at 7:02 pm on 1 May 2024.

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Photo of Viscount Younger of Leckie Viscount Younger of Leckie The Parliamentary Under-Secretary of State for Work and Pensions 7:02, 1 May 2024

I gently correct the right reverend Prelate, or give my view, which is that the current PIP system has served a purpose; that is a fair comment to make. However, as I said earlier, after 10 years—it was our Government who brought in PIP—now is the time to review it. To put this in perspective and explain why we are doing it now, I say that since 2015 the proportion of the caseload receiving the highest rate of PIP has increased from 25% to 36%, and 7% of working-age people in England and Wales now claim PIP or DLA, which is forecast to rise to 10% by 2028-29. Going back to 2022-23, the Government spent £15.7 billion on extra costs for disability benefits for people of working age in England and Wales, and the OBR has forecast that the cost will rise to £29.8 billion in nominal terms by 2028-29. On the right reverend Prelate’s question, we believe that now is the right time to do something. In fact, not doing something would be highly negligent. It covers everybody at all levels. I know he referred particularly to those who are the most vulnerable, and he was quite right.