Young people to no longer get main sickness benefit and PIP under Milburn’s welfare overhaul plan

Alan Milburn’s proposed welfare overhaul would move under-25s off the health element of Universal Credit and Personal Independence Payment (PIP), replacing them with a youth allowance and new forms of disability support. He says the changes are intended to improve young people’s chances of finding work, but acknowledges some could initially receive less financial help.

The youth allowance would be paid at the standard Universal Credit rate; a separate allowance would cover extra costs related to disability, with a higher-rate benefit for those unable to work. Milburn’s review focuses on around one million 18-to-24-year-olds not in education, employment or training, and proposes expanded employment support with a personal adviser. Disability charity Sense backs help into work but warns that inadequate specialist support could leave some young disabled people worse off.