Citizens Advice (CA) has issued a report calling for changes to universal credit (UC) to be delayed, just as the Universal Credit bill receives royal assent.
CA released its report, “Not so Universal: the two-tiered health element. How the Universal Credit Bill will create a two-tiered system for disabled people” on 2 September.
Two days later, on 4 September, the Universal Credit Bill received royal assent and became the Universal Credit Act.
One of the most important provisions of the act is that the UC health element will be cut by almost 50% for new claimants from April 2026, unless they are one of the small percentage who meet the severe conditions criteria (SCC).
CA argues that the act will have a “devastating impact on disabled people and their families”. They claim that around 730,000 disabled people will lose out on £3,000 per year, on average.
CA also say that the changes:
- will create a two-tiered system of support, as people who qualify for UC health from the 6th of April 2026 will generally receive a lower rate of support;
- won’t help disabled people into work;
- will mean people with severe, life-long conditions may miss out on protections.
From April 2026, existing claimants and new claimants who are placed in the SCC group will be paid more than other claimants who receive the health element. The two tier system, CA says, means that by 2028/29 the combined annual value of the standard allowance and UC health will be £10,672 for protected claimants, but just £8,119 for new claimants.
CA say the changes won’t help disabled people into work because receiving UC health isn’t a barrier to work in the first place. In fact, claimants who get UC health can earn £411 per month before their UC gets reduced, whereas other claimants begin to lose some of their UC as soon as they start earning.
In relation to the severe conditions criteria, CA argue that “Whilst the government has given assurances that people with fluctuating conditions and private diagnoses won’t be excluded from the severe conditions group, this is not currently explicit in the wording of the bill. This means less protection for people in these groups.”
Sadly, whilst the reports predictions are undoubtedly accurate, there seems no possibility of the government caring, let alone acting upon them.
