Overview
- The cut, which starts Monday, reduces the Limited Capability for Work and Work-Related Activity payment for new Universal Credit claims to £217.26 a month.
- That means a drop from £105.82 to £54.32 a week and about £2,472 less a year for people who qualify after the change.
- LCWRA is an extra payment for people judged too unwell to do work-related tasks, and it will stay at the current higher rate for existing recipients and anyone who applies by April 5.
- People with severe or terminal conditions are protected from the reduction, and ministers note the law also raised the main Universal Credit allowance above inflation.
- The Department for Work and Pensions says the change will encourage work, while the Work and Pensions Committee warns government analysis points to about 50,000 more people entering poverty by 2030.