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Is PIP being scrapped for under-25s? New benefit proposals explained

Vix Leyton
Written by Vix Leyton
Consumer Finance Expert and Head of Communications & Content at thinkmoney
12th Nov 2026
2 minute read

PIP could be replaced for millions of young people under proposed changes to the benefits system, with some claimants potentially receiving less money. Find out what's being proposed for under-25s, whether existing claimants could lose their payments and when changes could happen.

Young people aged 18 to 24 could lose access to Personal Independence Payment (PIP) and the Universal Credit health element under major proposals for an overhaul of the benefits system.

Former Labour health secretary Alan Milburn is expected to recommend replacing the existing benefits with a new youth allowance and additional payments for people with disabilities.

His review, commissioned by the government, is due to be published on Tuesday 17 November 2026. Milburn has acknowledged that some young people could receive less financial support under the proposals.

But does this mean PIP is being scrapped, and should people currently receiving benefits be worried?

Is PIP being stopped for under-25s?

No changes to PIP have been confirmed as a result of these proposals, and existing claimants will not automatically lose their payments.

The recommendations reported on 12 November would see people aged 18 to 24 moved away from the current system of PIP and health-related Universal Credit support.

Instead, they could receive a new youth allowance, with separate support for disability-related expenses.

However, these are recommendations from an independent government-commissioned review. The government has not yet confirmed whether it will adopt them.

For now, PIP remains available to eligible claimants under the existing rules.

What are the proposed PIP changes for under-25s?

The Milburn Review is expected to recommend three major changes to financial support for young people.

1. Replacing PIP and the Universal Credit health element

People aged 18 to 24 would no longer claim these benefits in their current form.

Instead, they could receive a new youth allowance paid at the same basic rate as Universal Credit.

The current standard Universal Credit allowance for a single person under 25 is £338.58 a month, although the exact payment rules for any replacement scheme have not been confirmed.

2. Introducing a new disability-related allowance

Young people with disabilities could qualify for a separate additional-cost allowance to help with expenses associated with their condition.

This could replace some of the financial support currently provided through PIP.

However, we don't yet know how much the allowance would pay, who would qualify or whether existing disability assessments would be replaced.

3. Providing higher payments for people with severe disabilities

The proposals also include additional financial support for people with the most profound disabilities who are unable to work.

Details of the eligibility criteria and payment amounts are expected to become clearer when the full review is published.

Will existing PIP claimants lose their benefits?

One of the biggest concerns is whether these proposals would affect people already receiving PIP.

Milburn has indicated that his recommendations would apply to both existing and new claimants, meaning the proposed changes would not necessarily be limited to people applying for benefits for the first time.

However, that does not mean anyone is losing their PIP today.

The government must first decide which recommendations it supports and how any changes would be introduced.

It is not yet clear whether existing claimants would receive transitional protection or whether changes would be phased in gradually.

If you're currently receiving PIP, you should continue following the usual rules for your claim.

How much PIP could young people lose?

The financial impact could be significant, but it's not yet possible to calculate how much individual claimants would gain or lose under the proposed replacement system.

PIP is currently paid at different rates depending on how a disability or long-term health condition affects someone's daily life and mobility.

The 2026/27 weekly PIP rates are:

  • Daily living, standard rate: £76.70

  • Daily living, enhanced rate: £114.60

  • Mobility, standard rate: £30.30

  • Mobility, enhanced rate: £80.00

Someone may receive one or both components, depending on their circumstances.

PIP is normally paid every four weeks and is not means-tested, so employment income and savings do not determine eligibility.

Some young people also receive the Universal Credit health element alongside PIP, currently worth £217.26 or £429.80 a month for eligible claimants, depending on their circumstances.

Milburn has acknowledged that some young people could initially receive less money under his recommendations.

However, the proposed replacement payments have not been confirmed, so it would be misleading to suggest that everyone currently receiving PIP would lose the full value of their award.

Read more about the Universal Credit health element for under-25s and how the current rules work.

When will the PIP changes happen?

There is currently no confirmed implementation date.

The next important date is 17 November 2026, when the Milburn Review is expected to publish its final recommendations.

The government is expected to consider the findings alongside the separate Timms Review of PIP before setting out its approach in a White Paper in 2027.

Any changes requiring legislation would need parliamentary approval.

For now, people should continue claiming any benefits they're entitled to under the current rules.

What should I do if I currently receive PIP?

If you're concerned about how these proposals could affect your income, there's no need to cancel your claim or apply for a different benefit.

You should continue responding to DWP letters, attending any required assessments and reporting relevant changes in circumstances as normal.

It's also worth checking whether you're receiving all the financial support you're currently entitled to, particularly if you're struggling with household bills.

Free benefits calculators from Money Wellness can help you check your existing entitlement.

If your current PIP award is approaching its end date, it's important to distinguish the proposed benefit changes from the normal review process. Our guide explains whether PIP payments stop if your award is due to end and what to do if your assessment is delayed.

PIP changes for under-25s: Frequently asked questions

Is PIP being scrapped in 2026?

No. PIP has not been scrapped, and the Milburn Review's recommendations have not become law. The government has yet to confirm which proposals it intends to introduce.

Will I lose my PIP if I'm 24?

Not automatically. The reported proposals could affect 18 to 24-year-olds, including existing claimants, but no immediate changes to payments have been confirmed.

Can 18-year-olds still apply for PIP?

Yes. Eligible people can still apply for PIP under the current rules. The proposed changes have not altered the application process.

Will PIP change in 2027?

The government is expected to outline its approach to welfare reform in 2027, but there is no confirmed date for the changes recommended by Milburn.

Are 16 and 17-year-olds affected?

The proposals reported so far focus on young people aged 18 to 24. It is not yet clear whether the final recommendations will address people aged 16 and 17.

Will the changes affect people in Scotland?

Scotland has replaced PIP with Adult Disability Payment, which is administered by Social Security Scotland. The proposals are not a confirmed change to that benefit.

Is the Universal Credit health element being removed?

The Milburn Review is expected to recommend replacing health-related Universal Credit support for people aged 18 to 24. However, the government has not confirmed that it will implement this recommendation.

What happens next?

The full Milburn Review is expected on Tuesday 17 November, when more details should emerge about the proposed replacement benefits, who would qualify and the potential impact on existing claimants.

Until the government confirms which recommendations it intends to take forward, the current PIP rules remain in place.

We'll update this article as further details are announced.

Last updated: 12 November 2026. This article covers proposals reported ahead of the publication of the Milburn Review, not confirmed changes to benefit entitlement.

Vix Leyton
Written by Vix Leyton

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