Money Wellness

benefits

Published 26 Feb 2025

3 min read

More support needed ‘to help people on sickness benefits find work’

The government has been urged to do more to help people with long-term health conditions find work.

More support needed ‘to help people on sickness benefits find work’
James Glynn - Money Wellness

Written by: James Glynn

Senior financial content writer

Published: 26 February 2025

According to the Learning and Work Institute (L&W), about 3.5m people on sickness benefits are currently trapped in a “dead end of too little support”.

This, it said, is partly because the system doesn’t help people re-enter the labour market even when they want to work.

At the same time, many people don’t feel there are good jobs available that suit their skills and ambitions. 

What can be done?

L&W has suggested that the support available be doubled, as this could help an extra 500,000 people into work over 10 years, as well as boost the economy by £8bn a year.

The organisation wants an extra £450m a year to go towards:

  • expanding and improving employment support
  • working with employers to offer better job opportunities
  • inviting all people claiming sickness benefits to regular work support conversations

L&W also wants to see a new benefit passport, which would guarantee that people can go back to their previous benefit status if they leave their job within six months.

Benefit reforms can help people ‘fulfil their potential’

According to figures from L&W, just 1% of people who aren’t working for health reasons find a job within six months.

That’s despite 20% wanting to find work.

Meanwhile, one in three health and disability claimants say they might be able to work now or in the future.

L&W acknowledged that change isn’t easy, but said that implementing the right reforms would help people fulfil their potential. 

“Britain has created a ‘benefit trap’ through a safety net set too low, insufficient and inadequate support to prepare for or look for work, and the need for more jobs and workplaces that can flex to meet the needs of people with health problems and disabilities,” said Stephen Evans, chief executive of L&W.

“Reform can be a win-win-win for people, employers and the economy.”

Government aiming to help people back into work

The government has already set aside £240m to help disabled people and those with long-term illnesses return to work.

Among the measures announced so far are:

  • local ‘trailblazer’ initiatives to combine work, health, and skills support for disabled individuals and the long-term sick
  • reaching people who usually don’t access support services – and connect them with skills, education and health resources
  • linking job support with health services
  • working with mayors so local services meet residents’ needs

A white paper with more details on how the government plans to get more people into work is set to be published in autumn.

James Glynn - Money Wellness

Written by: James Glynn

Senior financial content writer

James has spent almost 20 years writing news articles, guides and features, with a strong focus on the legal and financial services sectors.

Published: 26 February 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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James Glynn - Money Wellness

Written by: James Glynn

Senior financial content writer

Published: 26 February 2025

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