Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, what assessment he has made of the adequacy of the Universal Credit savings threshold for disabled claimants who are permanently unable to work and need to pay for (a) mobility equipment, (b) vehicle repairs, (c) respite care and (d) other disability-related costs; and if he will make an assessment of the potential merits of (A) introducing exemptions to and (B) increasing the Universal Credit savings threshold for disabled people who are unable to work.

Personal Independence Payment (PIP) provides a contribution towards the extra costs that may arise from a long-term disability or health condition. PIP is non-contributory, and non-means-tested. Individuals can choose how to use the benefit, in the light of their individual needs and preferences.

The benefit can also be paid in addition to any other financial or practical support someone may be entitled to such as Universal Credit, Employment and Support Allowance, NHS services, free prescriptions, and help with travel costs to appointments. It can also act as a passport to additional support such as premiums and additional amounts paid within certain benefits, Carer’s Allowance for an informal carer or the Blue Badge scheme. The benefit has been consistently uprated in line with inflation since it was introduced and was last increased by 1.7% from 7 April 2025.

The current system allows people to continue to receive benefit even though they may have an amount of capital from £6,000 by gradually reducing the level of their entitlement. The capital limit above which Universal Credit entitlement ends is above £16,000.

Whilst we keep all policies under review there are no current plans to change the capital limits for disabled customers.