Will Young People Lose PIP? Under-25s Face Benefits Shake-Up in Milburn Review

12th November 2026

Updated 12 Nov 2026, 08:35 · First published 12 Nov 2026

Young people under 25 could lose the right to claim Personal Independence Payment (PIP) and the health element of universal credit under plans in a major review of the benefits system by former Labour health secretary Alan Milburn. Instead, they would get a new “youth allowance” paid at the standard rate of universal credit, with a personal adviser to help them into work, training or college.

Milburn welfare review: what is being proposed

WhoAdults under 25

Would losePIP and the universal credit health element

InsteadNew youth allowance at the standard universal credit rate

Disability costsNew “additional cost allowance” for many current PIP claimants

Most serious conditionsA separate new benefit for people never expected to work

SupportA personal adviser for every young person until they find work, an apprenticeship or a college place

Full reportDue next week

Will young people lose PIP?

Not yet. These are proposals, reported by The Times, from the second part of Alan Milburn’s review, which is due to be published in full next week. The government has said it plans to bring in major welfare reforms in 2027, so nothing changes for people claiming benefits today.

Under the plans, under-25s would no longer be able to claim PIP or the health element of universal credit. They would instead receive a youth allowance paid at the standard rate of universal credit. Many current PIP recipients would move on to a new “additional cost allowance” to help with the extra costs of disability.

What about people who can never work?

People whose disabilities mean they could never be expected to work would get a separate new benefit, aimed at a smaller group of claimants. Exactly who would qualify has not yet been set out.

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What has Alan Milburn said?

Milburn, who was commissioned by Sir Keir Starmer when he was prime minister, has described the plans as a “big rewriting of the welfare system”, with more money for employment support. He has warned that the changes will not be “pain-free” and that some people could get less money at the start of a claim.

Prime Minister Andy Burnham has said the overhaul will require the government to “invest up front in young people”.

What do charities say?

Disability charity Sense said it supported giving more young disabled people the chance to work while protecting those who cannot. But its director of influencing, Harriet Edwards, warned that young disabled people could lose out without proper funding for specialist employment support, and called on the government to make clear who qualifies and what help will be available.

Photo: DanielMichaelPerry / Wikimedia Commons, CC0. Sources: The Times, Sense, Prime Minister’s comments.