Convicted criminals detained in hospitals set to lose benefits

16 Jan 2026 11:27 AM

Government seeking to restore trust and common sense to the benefits system. 

• Serious criminals held in hospitals would lose their benefits worth hundreds of pounds per month, under new proposals.
• Crackdown on loophole would see those convicted of serious offences treated the same as people serving sentences in prison, who cannot claim benefits.

Convicted killers and other serious criminals detained in hospitals under court order would lose thousands of pounds in benefit payments under new plans announced yesterday by the Department for Work and Pensions. 

Under the current system, an offender in hospital could be paid over £800 per month in Universal Credit - amounting to thousands in taxpayer cash over a long sentence.

Prisoners are already banned from claiming state benefits and the Government wants to look at how to extend this to offenders detained in hospitals under court order, including for violent and sexual offences, given their bed, board and treatment costs are covered.

Families of victims in high-profile cases – including the loved ones of Kennedi Westcarr-Sabaroche and the victims of the Nottingham attacks, Grace O’Malley-Kumar, Barnaby Webber, and Ian Coates - have bravely highlighted the loophole which sees offenders continuing to receive benefit payments.

The Work and Pensions Secretary will gather views from experts on removing Universal Credit from those convicted of crimes including manslaughter, rape and other serious offences, who are held in a hospital setting, considering the complexity and sensitivity of this issue. 

Prime Minister Keir Starmer yesterday said:

It cannot be right that offenders convicted of the most serious crimes continue to receive benefits they don’t need at the expense of the taxpayer. 

These proposals will restore basic fairness and common sense to our social security system.

I’m determined to do whatever it takes to stand up for victims, protect taxpayers, and ensure support goes to those who genuinely need it.

The Work and Pensions Secretary wants to ensure the benefits system reflects the stark difference between those receiving long-term hospital treatment and have not committed a crime - who will not lose benefits - and those detained under court order for serious offences.  

Work and Pensions Secretary Pat McFadden, who met with Ms Westcarr-Sabaroche’s family, yesterday said:  

I don’t think there’s a single household in Britain who believes it’s right that convicted criminals receive thousands of pounds a year in benefits.  

It’s unfair to victims’ families and to taxpayers whose hard-earned cash ends up in the pockets of offenders, and contrary to our values – we don’t reward acts of violence. 

That’s why I’m acting to right the wrongs within our benefits system, so it supports people who genuinely need it, while delivering fairness to the taxpayer. 

Anyone detained under a hospital order must receive appropriate mental health support, including in hospital settings where necessary.

The proposed change aims to create greater fairness in the benefits system and highlights the Government’s commitment to standing up for victims and protecting the taxpayer.  

Linda and Leon Westcarr, the mother and uncle of Kennedi Westcarr-Sabaroche, yesterday said: 

We welcome this long-overdue reform to the benefits system, which corrects a clear injustice that has caused real harm for too long. We are grateful that the current Secretary of State has listened and acted with humanity to ensure the system will no longer allow those responsible for serious crimes to benefit from their actions.

While this change does not undo the suffering already experienced by families like ours, it removes the added pain of knowing such injustices could continue. We hope this marks a meaningful step toward greater fairness, accountability, and compassion in public policy.

Dr Sanjoy Kumar and Dr Sinead O’Malley, parents of Grace O’Malley-Kumar yesterday said: 

We are delighted to hear this announcement from the Secretary of State. For us, the campaigning families this is what decisive and bold departmental leadership looks like. Pat’s actions benefit our country and our communities. As a result, our country now leads many countries across Europe on this issue.

We also appreciate the help Pat McFadden MP has given our cause and our campaign. Whilst we have lost our brave and beautiful daughter Grace, we now know that in her name good is being done for our country.   

The decision to remove benefits from serious offenders would not affect people who have been sectioned, who have not committed any offence.  

Julian Hendy from the Hundred Families charity, which supports families after mental health related killings yesterday said:

This is very welcome news. We have long argued that paying welfare benefits to people who have committed serious violent crimes is wrong and cannot be justified. They’re offenders sentenced to hospital orders who have no costs or need for such payments. 

We’ve argued paying benefits to such violent offenders is an insult to their victims who often struggle so hard to access effective care and support. We’re very grateful the Government have listened to our campaign and are taking action to put this anomaly right.

Additional Information

• An offender on Universal Credit in a single household over the age of 25 and receiving the LCWRA rate could receive over £800 per month.
• The Department will seek views from expert stakeholders including clinicians, victims’ groups and mental health experts.  
• The Department will also work closely with our counterparts in the UK, Welsh, Scottish and Northern Ireland Governments to ensure that there is a consistent approach and we work in partnership with our colleagues. 
• Other benefits, such as Personal Independence Payment (PIP) and Carer’s Allowance tend to be time limited, with PIP stopping after 4 weeks of hospitalisation.