Money Wellness

benefits

Published 17 Jan 2025

3 min read

Judge rules incapacity benefit cuts consultation ‘misleading’

A high court judge has ruled that Labour’s ambitious plan to cut £3bn from incapacity benefits was misleading and unlawful.  

An illustration of a diverse group of people with different disabilities.
Michelle Kight - Money Wellness

Written by: Michelle Kight

Financial content writer

Published: 17 January 2025

This ruling could have a big impact on the future of the proposed reforms. 

What’s the background? 

The consultation was carried out in 2023 by the previous Conservative government to get more disabled and long-term sick people back into work. 

Despite being drawn up by the opposition, Labour pushed ahead with plans to reform work capability assessments (WCA) as they want to see more people employed. 

What happened? 

The high court says that the Department for Work and Pensions (DWP) didn’t make it clear that their main goal was to save money.  

According to the court, the consultation also didn’t mention that 424,000 disabled people would face benefit cuts – with some losing £416 a month – while internal estimates suggested that 100,000 vulnerable individuals might be pushed into absolute poverty. 

The eight-week consultation period was also deemed too short for such big changes. 

Voice of concern 

Ellen Clifford, a disability activist who started the legal ball rolling, said the cuts seemed to be prioritised over the lives of disabled individuals. 

She’s urged the government to reconsider and focus on people’s wellbeing. 

The government's response 

Labour plans to publish a green paper soon. Critics argue that the proposals are more about cost-saving than genuine employment opportunities. 

A spokesperson confirmed the government will “re-consult on WCA descriptor changes” and address the shortcomings appropriately. 

Support is available 

Worried you might be missing out on benefits? We can check you’re claiming everything you’re entitled to.

Soget in touch or try ourbenefits calculator.

Michelle Kight - Money Wellness

Written by: Michelle Kight

Financial content writer

Michelle is a qualified journalist who spent over seven years writing for her local online newspaper. Having grown up in some of the North West’s most deprived areas, she has a first-hand and empathetic understanding of what it means to face serious money worries. With a strong interest in mental health issues, she is a keen advocate of boosting the accessibility of financial wellness services.

Published: 17 January 2025

The information in this post was correct at the time of publishing. Please check when it was written, as information can go out of date over time.

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Michelle Kight - Money Wellness

Written by: Michelle Kight

Financial content writer

Published: 17 January 2025

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