A new report shows that eight million people now claim Universal Credit benefits, half of whom have no work requirements.
The report follows up on Facts4EU’s previous deep-dive into public spending for GB News in the aftermath of Rachel Reeves’ tax-heavy second Budget in November.
The Chancellor unveiled a £15billion spending spree on benefits, funded by a tax raid on “working people”.
This included payments boosted for those on Universal Credit, Personal Independence Payment (PIP) and child benefits.
As the new report shows, the latest splurge adds to Labour’s generous welfare spending.
According to official figures, 8,277,289 people were claiming Universal Credit as of the end of October 2025. This shows an increase of 1.1 million people since the same time last year (+15.5 per cent in 12 months).
Former Minister Sir John Redwood said: “The ballooning benefits bill is forcing taxes and borrowing up.
“The main political parties say they want to bring it down, but the government is, in practice, letting it soar. It is even changing policies to increase the bill further.
“Government policy of putting up taxes on jobs and increasing the cost and complexity of employing people is burdening the system with more people out of work needing benefits.”
The data showing how many are on UC
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BREXITFACTS4EU
Below the report shows the breakdown of those with ‘mental and behavioural disorders’.
The authors stress that this category does not include pathological illnesses but might include those people who are suffering from the types of conditions that many people may not consider to be reasons to be signed off sick.
The breakdown of those with ‘mental and behavioural disorders’.
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Facts4EU
There are different categories for Universal Credit and for the health component within this. This appears to come from the transition from one of the previous benefit systems it replaced: Employment and Support Allowance, or ESA.
According to the figures, 3.2 million people were on Universal Credit (UC) health, up 933,000 (41 per cent) in the year. Out of this, 69 per cent of the increase is from ESA (Employment and Support Allowance) transitions.
Of these, 294,000 (nine per cent) had acceptable medical evidence of a restricted ability to work pre-WCA (Work Capability Assessment); 430,000 (13 per cent) were assessed as limited capability for work (LCW), and 2.5 million (77 per cent) were assessed as limited capability for work and work-related activity (LCWRA)
Out of all claimants on UC health, 58 per cent were aged under 50, of whom eight per cent were aged under 25. However, It should be noted this is eight per cent of the total, not eight per cent of under 25s, so is a much larger percentage of under 25s.)
Sir John added: “The Government is granting many more a sicknote for life, saying even to young benefit recipients they need not look for employment.
“It is wrong to limit many people at a young age by saying they need not work. That is not compassion, it is cruelty.
“Many will be able to get a job in due course. Striving to make a contribution can be rewarding and can help recovery from illness.”
Within England, the region with the highest proportion of UC health cases relative to overall UC claimants is the North-East (44 per cent), followed by South-West (42 per cent) and North-West (42 per cent), with the lowest as London (32 per cent).
In September 2025, 39 per cent of people on Universal Credit were on UC Health, up seven percentage points from September 2024
One underreported section of the DWP data is relating to “social protection” and the costs associated with each element.
The data shows how costs are clearly spread across different functions, with a person receiving sum benefits in respect of different elements of their needs.
For example, a person could be old, ill, and a survivor of abuse.
According to the data, 4.1 million Universal Credit Work Capability Assessment (WCA) decisions have been made in the period from April 2019 to August 2025
Of these, 12 per cent of decisions found claimants had no limited capability for work and hence no longer on UC health, 17 per cent limited capability for work (LCW), and 71 per cent limited capability for work and work-related activity (LCWRA)
Within England, the region with the highest proportion of LCWRA decisions was the North-West (73 per cent) and the lowest the North-East (66 [er cent).
Of all WCA decisions in the period January 2022 to August 2025, at least 61 per cent of them are recorded as having mental and behavioural disorders, albeit this may not be their primary medical condition.
The data surrounding ‘social protection’ | BREXITFACTS4EU
Sir John added: “Some people are too ill or too disabled to work and deserve decent support.
“Too many others will be able to work and in the case of mental health cases may find work is good therapy but are not asked to do this.”
“We need a fair and supportive benefits system for the very ill and disabled. We need to ensure it is always worthwhile working for others.
“The Government needs to do much more to help people into work and needs to rein in excessive and self-defeating welfare that drives up unemployment and removes incentives to find a job.
“Taxpayers also want better controls over illegal migrants. They should not come in to a life on benefits and hotel stays, boosting bills still more.”
