DWP Scheme Fiasco Jeopardizes Labour's PIP Reforms in New Zealand

The Government’s disability employment scheme has turned into a "disaster" marked by delayed payments, reductions in grant funding, and wait times of up to a year for assistance. The i Paper has been told.

People with disabilities utilizing the Access to Work program — designed to assist individuals with physical and mental health issues to remain employed — expressed that they were "enraged" their grant funds had decreased over the past few months.

Typically, grant funds cover practical assistance like specialized gear or transportation expenses when public transit isn't an option. Alternatively, they might also assist with covering therapy aimed at managing mental health concerns.

Labour is looking to overhaul Access to Work and has vowed to tackle a backlog of cases. The Government says it will invest £1bn in employment programmes to ease the pain of its £4.8bn cuts to health-related benefits.

Nonetheless, an all-time high of 62,000 individuals are presently awaiting the processing of their claims, with the scheme’s expenses rocketing to £258 million annually, as revealed by newly acquired data. The i Paper .

Disability advocates mentioned that reductions in support packages started back in early last year during the time of the Conservative government, though they've become more pronounced since Labour took office last summer.

A disabled broadcaster stated that they were compelled to cease work after their assistance, valued at more than £50,000 annually, was entirely cut off. They are currently in the process of applying for help. universal credit instead.

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This occurs as Labour continues to push for reductions in spending. personal independent payments ( PIP ) and universal credit in an effort to help more disabled and long-term ill British citizens find employment .

Disability campaigners say major problems with Access to Work “pull apart the logic” of the Government’s welfare plans since it is forcing some people to quit their jobs.

The initiative was introduced by the Tories way back in 1994, however, due to its minimal usage, it became commonly recognized as part of the Department for Work and Pensions (DWP). “best kept secret” However, Labour’s disabilities minister Stephen Timms recently informed Members of Parliament about the department's struggle with "a massive increase" in applications over recent years.

Individuals as well as companies have the option to apply, however, the highest assistance grant is limited to £69,000 for each employee annually.

The count of individuals participating in the work program increased from 36,000 in the 2019-20 fiscal year to 68,000 in the previous year. The annual expenses surged from £142 million to £258 million during this timeframe.

The backlog has grown significantly in the past four years, ranging from approximately 15,000 in 2021 to 55,000 by October last year. It now stands at 62,127, according to figures obtained through a FOI request.

Timms stated that the expansion of the program was "not likely to be sustainable" and they were exploring whether "employers might be able to contribute more."

Staff say the cuts are 'causing panic'

Jane Hylton-Phoenix, a self-employed study skills tutor based in Uxbridge, learned in March that her Access to Work funding would be reduced.

The individual, aged 43, deals with dyslexia, ADHD, and arthritis, and depends on assistance from a support worker and an accountant to manage daily activities.

The level of assistance has been reduced from 22 to 16 hours per week, along with their pay being decreased from £35 to £20 an hour.

She is still attempting to gauge how much work she can accomplish with reduced assistance. "The thought of managing this situation is terrifying and overwhelming."

I often collaborate with many individuals who have dyslexia and utilize Access to Work, and it's evident that significant alterations have occurred in the level of assistance provided.

It’s a complete disaster," Hylton-Phoenix said. "Individuals are facing unprecedented delays for support—sometimes taking up to six months to a year just to receive a response on their applications, which is absurd.

‘Cruel’ to cut PIP and Access to Work

Decode, a programme run by arts charity Disability Arts Online and the Cathy Waller Company, has a report out examining the type of reductions experienced by over 100 individuals they collaborate with .

From the beginning of 2024, nearly 90 percent of individuals who renewed their Access to Work grant experienced reductions in funding or received amounts lower than what they applied for. On average, the reduction in grant funds stands at 53 percent.

Cathy Waller, who co-founded Decode, commented: "This situation is quite horrifying. It compels numerous individuals to decrease their work hours significantly or quit their jobs completely."

The government claims their objective is to help disabled individuals find employment. However, the primary program designed to achieve this goal is facing significant reductions.

Alice Hastie, a disability consultant who collaborates with both employers and employees, mentioned that her clients noticed the DWP was making Access to Work grants more stringent.

She mentioned that some individuals experienced reduced funds for support staff. Additionally, certain DWP case managers slashed grants for items like headsets, reading and writing programs, specialized seating, and custom keyboards.

She said she received details from an informant within the DWP indicating that stricter eligibility criteria were scheduled to be implemented this year.

It essentially means reductions," Hastie stated. "Reducing benefits to encourage employment, followed by reducing access to Work seems illogical.

Nevertheless, the government stated that they had no current intentions of modifying Access to Work. and it was still consulting on how to reform to the scheme .

Businesses are also speaking out on their problems with the scheme.

Yateley Industries – a social enterprise in Hampshire that employs 60 disabled people in packaging jobs – said its survival had been threatened when DWP payments stopped for around six months from October.

By March, the deficit from unpaid contributions—which partially covered the salaries of support workers helping disabled employees—reached £186,000. Following the resubmission of claims, the funds started flowing in last month.

Sheldon McMullan, the chief executive, indicated that it seemed like the DWP "lack the personnel" to handle the surge in applications. He noted that what was once a steady and reliable system has now turned unpredictable and erratic.

"If those who are capable of working but currently do not, then more individuals will end up receiving benefits," he said additionally.

Growing waiting times

The typical wait time for Access to Work decisions has increased from 45 days to 85 days since last March. According to Hastie, some disabled individuals have remained within this backlog for over a year.

Some individuals continue struggling in their new positions while awaiting their claims, putting in more hours and becoming exhausted, engaging in activities that are not sustainable," she explained. "As a result, some end up having to quit their jobs.

The Scope organization mentioned that individuals they assist have been forced to leave their jobs while awaiting claim resolutions. Additionally, the charity noted that some have seen reductions in their Access to Work benefits.

James Taylor, the executive director of Scope, stated that the Government needs to put more money into assistingdisabled individuals find employment instead of "taking away financial support."

Mikey Erhardt from Disability Rights UK stated that the issues "undermine the government's rationale behind its welfare reform measures."

A representative from the Department for Work and Pensions mentioned they were seeking input on proposed changes to Access to Work programs with the aim of striking "a proper balance" among aiding individuals in entering employment, assisting those currently employed to remain so, and concurrently supporting businesses in making necessary accommodations as required under law.

Scheme is ‘complete shambles’

Catherine Eadie, a 54-year-old resident of Edinburgh who operates a social enterprise focused on providing mental health training, has had her Access to Work support reduced.

She has an auto-immune disease, fibromyalgia and chronic pain. And she is struggling with memory loss and other cognitive issues.

Eadie receives a grant covering a support worker who assists her with administrative duties. However, in December, she learned from the DWP that this funding would decrease from approximately £22,100 per annum down to £9,100 yearly.

I was informed that some of the issues I required assistance with fell under 'typical business duties,' and that I had the option to utilize memory aids or similar tools. However, this entirely overlooks the actual experience of being impaired while managing a small organization.

It’s an absolute mess," Eadie said. "They’re trying to promote this initiative, yet at the same time, they appear keen on keeping it under wraps.

A disabled writer, broadcaster, and artist—who chose to remain anonymous—had their entire Access to Work grant eliminated in August.

The funding, valued at more than £50,000 annually, covered transportation expenses along with a support staff member assisting with activities for 30 hours each week.

“They find it incredibly frustrating,” they stated. “When I received Access to Work support, I managed my job steadily. Now, without it, I'm finding it extremely difficult to work whatsoever. As a result, I've been forced to apply for Universal Credit.”

They added: "The Government claims they aim for increased employment among disabled individuals. However, the reductions and issues with Access to Work are achieving precisely the contrary outcome."