When are the benefits changes happening - and what happens next with the welfare bill?

Yahoo

a day ago

The controversial welfare bill is due back in Parliament this week after the government was forced to abandon key elements of its reforms to get the legislation past its first hurdle in the Commons.
Sir Keir Starmer was facing a substantial rebellion of Labour backbenchers, many of whom backed an amendment which would have halted the bill in its tracks.
The PM managed to survive the showdown on Tuesday, however, after making a number of major concessions, including one just 90 minutes before the vote.
Disabilities minister Stephen Timms told MPs that any changes to eligibility for personal independence payment (Pip) will only be made after a review he is carrying out into the system is completed. New Pip eligibility criteria will also now only apply to new claimants from November 2026 under the changes.
Concerns still remain, however, with some pointing out the changes mean the reforms will no longer save money, and others fearing the impact of cuts to the health top-up of Universal Credit for new claimants.
While the bill passed its second reading 335 votes to 260, it still has some way to go before it actually becomes law. Here, Yahoo News explains what happens next.
The bill is due to be debated by MPs again on Wednesday, 9 July, in what is known as the "committee stage".
This usually follows within a couple of weeks of a bill receiving its second reading and sees detailed examination of the legislation take place. A "Committee of the Whole House" will be used, meaning all MPs will get to debate and vote.
MPs will have a chance to put forward amendments to the bill. Every clause in the legislation is agreed to, changed or removed, although this sometimes happens without debate.
Once the committee stage is finished, the bill returns to the floor of the Commons for its report stage, where the amended bill can be debated and further amendments proposed.
It will then have a third reading immediately afterwards, which will give MPs a final chance to debate the bill's contents.
Debate during a third reading is usually short and limited to what is actually in the bill, and amendments can no longer be proposed at this stage.
MPs will vote on whether to give it a third reading. If they do, the bill will go to the House of Lords, where it will go through the same stages as peers scrutinise the legislation. No date has been set for the bill's first reading - a largely procedural step - in the Lords.
If, during Wednesday's debate, the speaker certifies the bill as a "money bill", the Lords will have no power to oblige the Commons to consider any amendments it puts forward, and the bill will become law after a month, the Benefits and Work charity writes.
While reforms to the Pip system have been halted until after the Timms review, changes to Universal Credit are expected to come in from April 2026.
From 6 April, the UC health element would be roughly halved for most new recipients under the bill, from £432.27 a month to £217.26, then frozen for four years, according to a Commons briefing.
Existing claimants were already protected from this cut, and in another concession made by the government on Tuesday, they will now also be shielded from the rate freeze.
However, the bill will also increase the standard allowance (the main element of UC) above inflation over four financial years from 2026/27.
Changes to Pip introduced in the bill include a new requirement for claimants to score at least four points in one activity, such as washing or preparing food, to receive the benefit.
However, it is not clear when this will come into effect, as the government halted any changes to Pip until after the Timms review.
The Timms Review - a comprehensive review of the PIP assessment led by Sir Stephen Timms - officially began with the publication of its terms of reference on 30 June 2025.
It is expected to be concluded by Autumn 2026.
Announcing the last-minute change to MPs on Tuesday, Timms said: "[MPs]have raised concerns that the changes to PIP are coming ahead of the conclusions of the review of the assessment that I will be leading.
"We have heard those concerns, and that is why I can announce that we are going to remove clause 5 from the bill in committee.
"We will move straight to the wider review… and only make changes to PIP eligibility activities and descriptors following that review."
The government says this review will "ensure the system is fair, supportive and reflects the realities of modern life".
"It will be co-produced with disabled people, the organisations that represent them, and MPs with the core objective of delivering better experiences and better outcomes for disabled people and people with health conditions," it adds.
"The review aims to respond to the changing picture of population health over the last decade, including the rising prevalence of long-term health conditions and disability in the working-age population.
It follows criticism by MPs that the government did not formally consult with disability groups on the provisions of the legislation, nor attempt to co-produce the bill with them.
However, there was a consultation on the Get Britain Working green paper, which set out "plans and proposals to reform health and disability benefits and employment support".
The consultation closed on 30 June, with the government stating that a White Paper with final proposals will be published later in 2025. No official date has been announced.
Read more
Welfare U-turn makes spending decisions harder, Bridget Phillipson admits (The Independent)
'I'm relieved the government isn't changing DWP rules on PIP - but I fear future cuts' (NottinghamshireLive)
'I want to buy a house - will being on PIP affect my mortgage application?' (BirminghamLive)