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The Department for Work and Pensions (DWP) has disclosed concerning findings regarding underpayments in the Personal Independence Payment (PIP) system.
As per the latest 2024/25 Fraud and Error in the Benefit System report, approximately 302,500 PIP claimants across the UK may not be receiving the financial aid they are legally entitled to.
Why Are So Many Claimants Missing Out?
The report indicates that these underpayments are largely due to claimants failing to notify the DWP of deterioration in their medical conditions or an increased need for daily assistance.
This oversight is categorized as a claimant error. In fact, nearly 11% of recipients are thought to be underpaid simply because they haven’t reported changes in their circumstances.
PIP’s High Rate of Unfulfilled Eligibility
Among all UK benefits, PIP ranks second in terms of unfulfilled eligibility, representing a staggering 30% of all missed entitlements in the last year.
The unpaid support totals £1.06 billion, translating to an underpayment rate of 4.1%.
Understanding PIP Payment Structure
PIP is designed to help individuals with disabilities, chronic illnesses, or mental health conditions manage additional costs related to daily living and mobility needs.
Current PIP Weekly Rates
| Component | Standard Rate | Enhanced Rate |
|---|---|---|
| Daily Living | £73.90 | £110.40 |
| Mobility | £29.20 | £77.05 |
Four-Week Total Payments
- Minimum (Standard Daily + Mobility): £412.40
- Maximum (Enhanced Daily + Mobility): £749.80
How Much Extra Can You Receive by Reporting a Change?
If a person is currently receiving only the standard mobility component (£29.20 weekly or £116.80 every four weeks) but qualifies for the enhanced rate of both components, their total payout could jump to £749.80 every four weeks. That’s an increase of £633 per period, or £9,747.40 annually.
Real-World Example: Monthly & Annual Boost
A claimant moving from standard rates (£412.40) to enhanced rates (£749.80) can gain £337.40 more per month — an annual rise of £4,386.
Why Reporting Changes Is Vital
The DWP emphasizes that PIP is awarded based on how a health condition affects daily function and independence, not the diagnosis itself.
Two individuals with the same condition might receive different PIP awards depending on their individual abilities and support needs.
Situations That Require Reporting
According to GOV.UK, you should report to the DWP if:
- You need more or less help with daily living or mobility.
- A medical professional updates the expected duration of your condition.
- Your condition has worsened and you are not expected to live more than 12 months.
How to Report a Change to the DWP
To update your information, contact the PIP Enquiry Line:
- 0800 121 4433
- Monday to Friday, 9 am–5 pm
You can also visit GOV.UK for step-by-step instructions on how to report changes.
With over 300,000 UK residents potentially underpaid, it’s essential for PIP claimants to understand the importance of reporting any changes in their health.
A simple update could mean an increase of up to £633 per month, providing much-needed financial support.
Don’t miss out—contact the DWP if your condition has changed, and ensure you’re getting the full amount you deserve.
FAQs
What causes underpayment in PIP benefits?
Underpayments often result when claimants do not inform the DWP of changes in their health that increase their need for assistance, leading to incorrect benefit amounts.
How can I increase my PIP payments?
If your condition has worsened, you can report the change to the DWP. After a reassessment, you may qualify for enhanced PIP rates, boosting your monthly income.
Can my PIP payments decrease if I report a change?
Yes, depending on your updated health information, your payment could increase, decrease, stay the same, or be discontinued altogether after reassessment.