15 January 2019

Watchdog report shows introduction of personal independence payment (PIP) led to spending rise rather than intended fall.

What: In its annual Welfare Trends Report, the Office for Budget Responsibility says the government’s introduction of personal independence payment led to a sharp rise in spending on disability benefits rather than the fall intended by ministers. Chancellor George Osborne had announced in 2010 that the coalition planned to cut spending and the number of claimants on disability living allowance (DLA) by 20 per cent by introducing a new working-age benefit -PIP.

Why significant: Figures perhaps show self-defeating nature of high-profile benefit reforms.