UK Government Unveils Controversial Welfare Reform Bill Amid Backlash and Poverty Concerns
June 18, 2025
Work and Pensions Secretary Liz Kendall has characterized the proposed legislation as a step towards compassion, opportunity, and dignity, emphasizing the urgency of reforms due to high levels of working-age inactivity caused by ill health.
Key changes in the Bill include stricter eligibility criteria for the Personal Independence Payment (PIP) and cuts to the sickness-related component of Universal Credit (UC), with the aim of encouraging individuals off sickness benefits and into work.
The Government is set to introduce its flagship Welfare Reform Bill in the House of Commons today, aiming to reform the welfare system.
While the government anticipates that these reforms could save up to £5 billion annually, they have faced backlash from Labour MPs who describe the cuts as 'awful' and 'impossible to support'.
An impact assessment for the Bill estimates that around 800,000 people could lose PIP support, with an average annual loss of £4,500 per person, and predicts that 250,000 more individuals may fall into relative poverty by 2030.
Disability advocacy groups, including Scope and Mencap, have criticized the reforms, arguing they will lead to real-terms cuts to support for disabled individuals, exacerbating anxiety and financial strain.
Disability charity Scope has labeled the extended transition period as a temporary fix, warning that disabled individuals will continue to face increased costs after the support ends.
Kendall has proposed 'non-negotiable' protections in the Bill, including extending the payment period for those who lose their PIP eligibility from four to thirteen weeks, which will be legally enforced.
Despite the cuts, the government projects that approximately 3.9 million households not on the UC health element will see an average annual gain of £265 from an increased standard UC allowance.
Kendall emphasized the need for reform to create a sustainable social security system that encourages employment while protecting those unable to work.
There is expected opposition from Labour backbench MPs, many of whom have indicated they cannot support these reforms due to concerns they may increase poverty.
Despite concerns over the proposed changes, Downing Street remains committed to the reform agenda, citing the pressing need to address work inactivity due to health issues.
Summary based on 13 sources
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Sources

Oxford Mail • Jun 12, 2025
Kendall to add protections to welfare Bill amid backlash to cuts
Oxford Mail • Jun 18, 2025
Welfare reform marks moment of compassion, says Kendall amid backbench anger
Oxford Mail • Jun 18, 2025
Flagship welfare reform plans to be introduced in Parliament
Bristol Live • Jun 18, 2025
Labour's DWP benefit changes outlined as 'awful reforms' presented to MPs today