Recommendation 5

We are sympathetic to the intention behind the changes to UC rates and we agree with the importance of increasing the standard allowance. As such, we warmly welcome the desperately needed increases in the standard allowance, although we hope the Government will give serious consideration to further increases before the end of the Parliament. The Minister gave us reason to think he was keeping an open mind on this. We also welcome the decision not to freeze UC health for existing claimants. We remain concerned, however, that the significant reduction in UC health for new claimants after April 2026 will push many disabled people further into poverty and away from the labour market, even with the increase in the standard allowance. (Conclusion, Paragraph 98)