£160 DWP payment boost for three million people per year

More than people received an income boost in April as the Personal Independence Payment () rate increased by 1.7%. Chancellor unveiled the plans during October's Autumn Statement, offering much-needed relief for those struggling with high living costs.

PIP is a distributed by the Department of Work and Pensions () to people who need extra help day-to-day due to long-term illness, , or physical or mental health conditions. Under the new rates, recipients could see their payments increase by up to £163.80 per year, bringing the highest annual total to £9,747.40. There are two components to PIP: a daily living part for those who need help with everyday tasks and a mobility part for those who need help moving around. Each comes with two rates: a standard rate and an enhanced rate.

Whether people get one or both parts and how much they get depends on how difficult they find individual tasks.

Who is eligible for PIP?

People can apply for PIP even if they're working, have savings, or already receive other benefits.

To be eligible, all of the following must apply to the claimant:

• They're 16 or over
• They have a long-term physical or mental health condition or disability
• They have
• They expect the difficulties to last for at least 12 months from when they started.

Common conditions that people claim PIP for include psychiatric conditions, such as depressive and mood disorders, as well as musculoskeletal, neurological, or respiratory diseases, such as asthma and cystic fibrosis.

What are the PIP rates for 2025?

In line with the 1.7% increase, new rates for both components from April 2025 are:

Daily living tasks

• Standard rate - £73.90 a week (up from £72.65)
• Enhanced rate - £110.40 a week (up from £108.55)

Mobility tasks

• Standard rate - £29.20 a week (up from £28.70)
• Enhanced rate - £77.05 a week (up from £75.75).

The enhanced rate of the mobility component also gives people the option of getting a Motability vehicle instead of a cash payment.

The changes mean those entitled to the full rate can now receive up to £187.45 a week, which translates to around £749.80 every four weeks. This reflects an increase of £3.15 a week, £12.60 every four weeks and £163.80 a year.

The easiest way to claim is to phone the . Claimants must then fill in a form, after which they'll undergo an assessment.

People in some areas can also apply online - they'll need to check their postcode before they start the assessment.

How is PIP set to change in 2026?

Reforms to PIP, announced by Work and Pensions Secretary Liz Kendall, are set to take effect in November 2026.

The changes aim to tighten eligibility criteria, meaning only those with the most severe disabilities will qualify for the daily living component. Under the revised rules, individuals must score at least four points in at least one activity on the assessment to be eligible.

According to data from the DWP, the number of working-age people receiving PIP has more than doubled from 15,300 to 35,100 a month since the pandemic. The number of young people (16-24) receiving PIP per month has increased from 2,967 to 7,857 a month. Without reforms, the DWP estimated that the number of working-age people claiming PIP is expected to increase to 4.3 million over the next five years, costing £34.1billion annually.

The Government has defended the changes, branding it the "biggest shake-up to the welfare system in a generation", which will create a "pro-work system".

But charities have argued the proposed changes are "immoral and devastating" for those they represent and could "push more disabled people into poverty".

Thomas Lawson, CEO of anti-poverty charity Turn2us, said: "We welcome proposed investment in employment support and the 'right to try work'. However, the cuts will harm more people than they help. Reducing access to PIP and cutting Universal Credit for those unable to work is short sighted. It will create hardship, erode trust and cost us more in the long run.

"If the Government wants to 'get Britain working', it needs to get the system working. That means listening to people's experiences, building trust and making sure everyone has enough to live on."