Health Secretary declines to be drawn on benefit freeze ‘speculation’

A senior minister has declined to be drawn on whether the Government will freeze personal independence payment (PIP) as uncertainty continues to surround Labour’s upcoming welfare reforms.

Work and Pensions Secretary Liz Kendall is expected to announce reforms on Tuesday aimed at cutting a welfare bill that ministers have described as “unsustainable”.

Ahead of the announcement, speculation has mounted that PIP – the main benefit for working-age adults – could be frozen rather than increased in line with inflation, delivering a real-terms cut for 3.6 million claimants.

But on Sunday, reports suggested the Government is considering reversing course on PIP in the face of opposition from Labour MPs and division in the Cabinet.

He told the BBC’s Sunday With Laura Kuenssberg: “I haven’t seen the proposals but you’ve seen the briefing, you’ve seen the speculation, I think the moral of the story is wait for the plans.”

During his interview, Mr Streeting also said he believes there is an “overdiagnosis” of mental health conditions leading to “too many people being written off” as unable to work.

Campaigners have urged the Government not to cut PIP, saying it would only serve to push disabled people into poverty.

A PIP recipient with multiple sclerosis told the MS Society the prospect of cuts “scares the hell out of me”.

They added: “Even with my husband’s income and my PIP payments, our finances just disappear each month.

“My MS means I have extra costs like taking supplements and accessing different therapies which can be expensive. Alongside that, our day-to-day living costs are increasing.”

Kirsty Blackman, the party’s work and pensions spokeswoman, said any planned cuts to disability payments should be “abandoned” and she accused Labour of “deliberately fuelling speculation” in the media about its intentions.

Meanwhile, Ms Kendall is expected to attempt to reassure people receiving disability benefits by introducing a “right to try guarantee” that will allow them to take up work without necessarily losing their entitlements.

The move is said to be in response to surveys suggesting disabled people and those with long-term health conditions fear they will not get their benefits back if they try employment but it does not work out.

A Government source said: “The broken welfare system we inherited is trapping thousands of people in a life on benefits with no means of support, or any hope for a future of life in work.

“It doesn’t account for the reality of people’s health conditions, many of whom fear that they will be punished for taking a chance on work.

“As part of our plan for change, our reforms will deliver fairness and opportunity for disabled people, and those with long-term health conditions, protecting the welfare system so it is sustainable for the future and will always be there for those who need it.”

Conservative shadow work and pensions secretary Helen Whately said Labour was “divided” over welfare and “cannot deliver the decisive change we need”.

She said: “The Government’s dithering and delay is costing taxpayers millions every day and failing the people who rely on the welfare system.

“Under new leadership, the Conservatives are the only party united in the need to reduce spending on benefits – which is why we committed to save £12 billion-a-year from the welfare bill which Labour scrapped. Labour must come forward with a serious plan to deliver savings.”