Thousands of young Disabled people missing out on extra cost benefits

Tue,20 August 2024
News Benefits Health & Social Care Money Young People
A new report from the Resolution Foundation has found that the number of under-16s in receipt of Disability Living Allowance (DLA) in England and Wales has doubled over the past decade.

The increase, which reached 682,000 in 2023, has been driven almost entirely by awards made to children whose main disability is either a learning difficulty, a behavioural disorder or attention deficit hyperactivity disorder (ADHD). 

The report notes that the increase in children’s disability benefit awards has had fiscal consequences, however, children’s disability benefits remain a relatively small part of public spending. The report states that the cost has more than doubled from £1.9 billion in 2013-14 to £4.0 billion in 2023-24 and is set to reach £6.4 billion by 2028-29. This will have a knock-on impact on working-age disability benefit spending: in 2023, more than four-fifths of initial Child DLA-to- Personal Independence Payment (PIP) reassessments led to a PIP award. 

Although there are spending pressures due to more children moving onto PIP, it is concerning that many don’t move onto adult extra cost benefits. The number of young people in receipt of disability benefits has fallen by more than one-quarter between the ages of 15 and 17, with the findings emphasising that this is “A time when, at the cusp of adulthood, a smoother transition would clearly be ideal.” 

According to the report, these benefit trends mirror the rising number of Disabled children in Great Britain overall. Over the past decade, the number of Disabled children has increased by almost half a million to 1.2 million in 2022-23, with more than four-fifths of this increase being children with a social or behavioural impairment. 

Resolution Foundation senior economist Louise Murphy said, “she was concerned young people were slipping through gaps in the system.” Adding that “There may be positive reasons for no longer claiming support, but it is a huge worry if young people are leaving the benefits system and missing out on support at the arbitrary cut-off point of age 16, rather than when their condition changes,” 

Ms Murphy said the Government needed to focus on tackling the underlying prevalence of disability. “It is understandable that politicians want to reduce the rise in disability benefit spending, but to do that they will need to understand and address the root causes of rising disability among children.” 

Ken Butler DR UK’s Welfare Rights and Policy Officer said: “This report highlights that around 75% of young DLA claimants move from DLA to PIP, this means that around 25% do not.” 

“It is of concern that large numbers of disabled young adults may be wrongly missing out on help with their extra disability related costs. The new Government should investigate why some young Disabled people are missing out on this essential financial support.”