Downing Street Considers Extending Benefits Overhaul to Older Age Groups
Downing Street is considering whether plans to replace key disability benefits for under-25s with work and training should be extended to older age groups, according to The Guardian.
The idea being discussed is known as "participation first". Andy Burnham and other cabinet ministers are looking at applying it to all people of working age, the newspaper reported. The approach involves spending billions of pounds more on support to help people get into work, while cutting or removing some disability benefits.
The youth plan is taking shape first. The government is preparing to accept recommendations next week from its adviser Alan Milburn on overhauling the benefits system for young people. Milburn will propose that under-25s receive training and support instead of the health element of universal credit, the extra payment within the main benefit for people with health conditions.
Under Milburn's plans, young people with disabilities would lose personal independence payment (Pip), a disability benefit, but could apply to a local fund for specific short-term expenses and equipment instead of an ongoing payment. Those with the most extreme needs who cannot work would have their entitlements protected.
Cabinet ministers this week examined whether the arguments for the youth overhaul could be applied to over-25s. They were considering an intervention from the prime minister or Pat McFadden, the work and pensions secretary, to make the case that the same principles should apply to everyone. An announcement on expansion could come within weeks of both the Milburn review and a separate review into disability benefits led by Stephen Timms being published.
Funding is one point of friction. The Guardian has learned there has been consternation within the Department of Health and the Department for Education that the upfront money for Milburn's extra support will come from within their budgets. Some estimates have put the cost of the support Milburn proposes at about £6bn.
