What are the key universal credit changes in the welfare bill?
As the DWP's welfare bill is published, we take a look at what that means for universal credit claimants.
More than 200,000 universal credit claimants with severe health conditions will not be subject to reassessment, according to the government's welfare bill published on Wednesday.
The change has been announced as part of work and pension secretary Liz Kendall's legislation overhauling the UK's welfare system, with the government hoping to pocket £5bn in savings through controversial cuts to PIP and universal credit.
The freeze and cut of the health element of universal credit has also been written into the bill, which will come into effect in April 2026.
Both campaigners and MPs have voiced concerns over the bill and the damage the cuts could cause for vulnerable and disabled people, with more than three million people affected by the government's benefits cuts estimated to be at risk of losing up to £12,000 a year.
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At the last count, a reported 170 MPs from Labour said they would oppose the bill during the parliamentary vote, which is expected later on this month.
Here's what we know about the universal credit changes mentioned in the bill:
Severely ill not subject to reassessment
While most people are routinely assessed for their benefits, one category of people will now be excluded.
More than 200,000 individuals claiming the health component of universal credit will be placed in the severe conditions criteria group.
The group of individuals with the most severe and permanently disabling conditions who will never be will not be called for reassessed for universal credit under new legislation.
Universal credit health component rates freeze
One of the biggest impacts of the bill is on universal credit claimants receiving the health component of the benefit.
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Called the limited capability for work and work-related activity (LCWRA) component, the payment provides additional financial support and reduced work-related requirements for individuals whose health conditions or disabilities prevent them from working or preparing for work.
Claimants can vary, and may have a terminal illness, cancer, or be pregnant.
Now, the LCWRA rate will be frozen at £97 per week from April next year, and not increased in line with inflation until 2029/30.
The amount will be reduced to £50 per week in 2026/2027 for new claimants.
The chief executive of the disability charity Sense, James Watson-O'Neill, criticised the plans, and said he was "especially alarmed" by plans to cut the universal credit uplift "for those with the greatest barriers to work."
He said: 'Many of the disabled people and families we support have told us they're frightened — uncertain how they'll afford food, heating, or other basic needs without this vital support."
Standard allowance increased
For benefit claimants across the board, the standard rate of universal credit will go up.
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Universal credit rates are now set to increase above inflation every year for the next four years — estimated to be worth £725 by 2029/30 for a single household 25 or over.
The rate is around £250 higher than an inflation only increases.
For example, in the next financial year, the universal credit standard allowance for a single person aged 25 or over is expected to rise from £92 per week in 2025/26 to £97 per week in 2026/27.
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