Sharon Cyrus
Claimants of the Personal Independence Payment (PIP) may be in line for an annual boost of £321 to their benefits, depending on whether the current inflation rate holds steady. According to the latest update from the Office for National Statistics (ONS), Consumer Prices Index (CPI) inflation for June stands at 3.6%.
If this inflation level is maintained, weekly PIP payments could rise from £187.45 to £194.15, representing an increase of £6.70 per week. Over a standard four-week pay cycle, this equates to £26.80 more, raising total payments from £749.80 to £776.60 — a yearly increase of approximately £321.
How DWP Adjusts Benefits Using CPI
The Department for Work and Pensions (DWP) typically reviews and updates benefit rates each year based on the CPI rate recorded in the previous September. For example, if inflation stood at 2% in September, then most benefits, including PIP, would see a 2% rise the following April.
However, the State Pension follows a different rule known as the “Triple Lock”, which ensures it rises by the highest of three figures: CPI inflation, average earnings growth, or 2.5%.
Current PIP Rates for 2025
PIP, which is gradually replacing Disability Living Allowance (DLA), is available to individuals dealing with long-term physical or mental health conditions.
The benefit is divided into two components — Daily Living and Mobility, each with standard and enhanced rates:
Daily Living Component
| Rate Type | 2024 Rate | 2025 Rate |
|---|---|---|
| Standard | £72.65 | £73.90 |
| Enhanced | £108.55 | £110.40 |
Mobility Component
| Rate Type | 2024 Rate | 2025 Rate |
|---|---|---|
| Standard | £28.70 | £29.20 |
| Enhanced | £75.75 | £77.05 |
Upcoming DWP Reforms May Alter PIP Assessments
Significant changes may be on the horizon for PIP, following a review led by Sir Stephen Timms. The review aims to reassess how the PIP system works, especially in terms of the evaluation criteria and scoring structure used during assessments.
The review will focus on:
- The effectiveness of current activities and descriptors.
- Whether additional evidence should be included in assessments to better reflect an individual’s daily life and personal environment.
- Ensuring that the system provides equitable access to support across all DWP benefit programs.
- Improvements to both Daily Living and Mobility assessments for fairer outcomes.
With inflation currently at 3.6%, people receiving Personal Independence Payment could see their benefits rise by £321 annually if this rate persists.
Alongside potential financial boosts, the DWP is also planning a comprehensive review of the PIP assessment system, which may further improve how support is distributed.
For many claimants, these changes could result in better financial stability and a more accurate evaluation of their needs.
FAQs
When will the new PIP payment rates take effect?
If inflation remains consistent, the new rates would typically be applied from April 2026, based on CPI recorded in September 2025.
Who qualifies for PIP?
You may be eligible for PIP if you’re aged 16 or over, under State Pension age, and have a long-term physical or mental health condition that affects your daily living or mobility.
What is the “Triple Lock” for pensions?
The Triple Lock guarantees that State Pension increases each year by the highest of: CPI inflation, average wage growth, or 2.5%, whichever is highest.