Disabled People Face Extra Costs of Almost £15,000 by 2029

Strategic Insights -

The welfare system in the UK has been a subject of controversy in recent times, with plans to reform the Personal Independence Payment (Pip) and the health element of universal credit. A recent analysis by Scope, a disability equality charity, reveals that disabled people could face extra costs of almost £15,000 a year by the end of the decade. The current extra costs for disabled people are estimated to be £1,095 a month, which is likely to rise to £1,244 a month by April 2029, totaling almost £15,000 a year.

Key Takeaways:

  • The estimated extra costs for disabled people to cover their needs will rise from £1,095 a month to £1,244 a month by April 2029, totaling almost £15,000 a year.
  • People with disabilities often have higher household costs, such as higher energy bills, and extra costs for specialist mobility equipment.
  • The government's welfare reforms will still result in "catastrophic cuts", with some disabled people protected and supported but others not.
  • The charity's latest report is based on analysis of the Family Resources Survey (FRS) and makes calculations using Office for Budget Responsibility (OBR) inflation forecasts to show the likely extra costs faced by disabled people in the coming years.
  • The current monthly shortfall for benefits to cover the extra costs of disabled people is £630, which is likely to rise to £704 by the end of the decade.
  • James Taylor, executive director of strategy at Scope, stated that benefits do not cover the entirety of these costs, and the government must take action to change course on these catastrophic cuts.

Statistics:

  • Current extra costs for disabled people: £1,095 a month
  • Projected extra costs for disabled people by April 2029: £1,244 a month
  • Total extra costs for disabled people by 2029: nearly £15,000 a year
  • Current monthly shortfall for benefits to cover extra costs: £630
  • Projected monthly shortfall for benefits by the end of the decade: £704

Sources:

  • Scope (disability equality charity), "Analysis of the Family Resources Survey (FRS) and Office for Budget Responsibility (OBR) inflation forecasts"
  • The Sunday Times, "Government forced into U-turn on welfare cuts"
  • The Sunday Times, "Scope warns that millions of disabled people will be left in the 'dark' about new benefits changes"