
Dwp claimants hit by universal credit and pip cuts to get help from councils
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THE DEPARTMENT IS PLANNING TO SHARE MORE BENEFIT CLAIM DATA WITH LOCAL AUTHORITIES SO THEY CAN IDENTIFY THOSE IN GREATEST NEED 06:00, 31 May 2025 People facing cuts to their Universal Credit
and PIP benefits under the Pathways to Work reforms are set to receive more support from their council. The Department for Work and Pensions has confirmed plans to increase the sharing of
claim data with local authorities so that struggling families can get more help. It could provide a vital lifeline to people who are affected by the proposed reforms of disability and
incapacity benefits, as well as those in debt or at risk of homelessness. The Department already provides councils with updates on Universal Credit claims within their area. This enables
local authority staff to determine who is eligible for Council Tax Support and other schemes such as the Household Support Fund. READ MORE: Article continues below A project is now being
worked on to increase the amount of information that's shared so that councils can reach out to those at risk of losing disability and incapacity benefits, facing homelessness,
struggling financially or in need of employment support. Sir Stephen Timms, Minister of Social Security and Disability, confirmed the new plans in response to a question from MP Pippa
Heylings (Liberal Democrat, South Cambridgeshire) asking about "enabling local authorities access to up-to-date Universal Credit data for all claimants in their area." He said:
"The Department for Work and Pensions recognises the benefits of further Universal Credit data sharing with local authorities to support vulnerable citizens. "DWP is working on a
project to do exactly this, and aims to have delivered a test version to a small group of LAs by Spring 2026. Subject to this test being successful, we will roll this out to all LAs during
the rest of 2026." Policy in Practice says that in addition to indicating a person's eligibility for Council Tax Support, the availability of Universal Credit data will also flag
up households impacted by the national welfare reforms, or at risk of homelessness. Councils will also be able to more easily see which local residents are in debt and take action to reduce
it, as well as who needs employment support, and open up access to the £23 billion in unclaimed benefits across the UK. It can identify groups of people who may be particularly vulnerable,
such as single parents or those who will be impacted by the upcoming changes to disability and incapacity benefits, including Universal Credit's sickness top-up for having 'limited
capability for work and work-related activity' (LCWRA). Many also claim the separate benefit Personal Independence Payment (PIP). From April 2026, the £423-a-month LCWRA payment within
Universal Credit will be frozen for the next five years. Anyone newly awarded the top-up will get half the current amount, which will also remain frozen. In addition, PIP eligibility
criteria will be tightened up from November 2026 so that people need at least one score of four in the daily living activities to get this part of the benefit. Article continues below Policy
in Practice welcomed the plans for the DWP data-sharing boost, describing it as "a major win". It said the initiative was a direct result of its lobbying to increase the
information that's available at a local level. It has also urged councils not to delete any of their existing data. Join our dedicated BirminghamLive WhatsApp community for the latest
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