Poverty and Disability: the impact of welfare reform

There were approximately 12.2 million Disabled people in the UK in 2012/13. This is about 1 in 5 people, or 19% of the population. Latest figures suggest there are 1.2 million Disabled people in London. 19% of households that include a disabled person live in relative income poverty (below 60% of median income), compared to 14% of households without a disabled person. 40% of disabled children in the UK live in poverty. This accounts for around 320,000 disabled children, and almost a third of those are classified as living in ‘severe poverty’. Figures from Inclusion London and The Papworth Trust Facts and Figures

Disabled people are less likely to be in employment. In January 2016, the UK employment rate among working age disabled people was 46.5% (4.1 million), compared to 84% of non-disabled people. Disabled people pay on average £550 per month on extra costs related to their disability. As a result of these extra costs, disabled people are twice as likely to have unsecured debt totalling more than half of their household income. Disabled people are three times more likely to draw on doorstep loans. Figures from Inclusion London and The Papworth Trust Facts and Figures

The gap of people in absolute low income between families where at least 1 member is disabled and those where no-one is disabled has increased over the last few years: After housing costs are taken into account, the percentage of “disabled households” who were in “absolute poverty” rose from 27 per cent in to 30 per cent in The number of people in “disabled households” living in absolute poverty rose by 300,000 in one year. The proportion of disabled people living in relative poverty increased in by two percentage points (about 300,000 people). Figures from the annual Family Resources Survey Facts and Figures

£28 billion cuts impacting on Disabled people under the Coalition government. Research from the Centre for Welfare Reform showed Disabled people being hit nine times harder by the cuts than non-Disabled people. For people with high support needs that figure rises to nineteen times harder. Another 12 billion to come off the welfare budget under this Parliament. Welfare reform

Range of benefit cuts: Employment and Support Allowance Council Tax benefit changes Bedroom Tax Sanctions Personal Independence Payment U-turn on Working Tax credits Welfare reform

Cumulative Impact and regression UK = first state to be investigated for “grave and systematic” violations of Disabled people’s rights under the UNCRPD UN Committee on Economic, Social and Cultural Rights – call for cumulative impact assessment of cuts Case studies

More to come Another 12 billion off the welfare budget: PIP transfers ESA WRAG cut Universal Credit Employment and health green paper LHA rates for supported housing (review secured)