UK to End Benefits for Hospitalized Criminals, Saving Millions

The UK government will stop paying benefits to serious criminals detained in psychiatric hospitals, ending a 'double provision' loophole that allowed offenders to receive up to £800 monthly while the NHS funded their care. The move, prompted by victims' families, is expected to save tens of millions annually and affect about 2,500 current patients.
Key points
- New regulations will end universal credit payments for offenders under Section 37 and 57A hospital orders, covering crimes like manslaughter and rape.
- The policy aims to eliminate 'double provision,' where the NHS funds care while the state pays benefits, saving an estimated tens of millions of pounds per year.
- Victims' families, including those of the 2023 Nottingham triple murder, campaigned for the change, arguing it is a matter of moral responsibility and fairness.
- The rules are expected to take effect early next year, impacting approximately 2,500 current patients and 200 new cases annually.
- Opposition parties criticized the delay, arguing the government should have acted sooner and that the savings are insufficient compared to broader welfare issues.
Background
This development follows earlier debates on welfare fairness and criminal accountability. While unrelated to the Letby inquiry or US health costs, it reflects a broader trend in scrutinizing public spending on individuals with complex legal and medical statuses.
How outlets are covering it
BBC and LBC highlight the moral and financial arguments from victims' families, emphasizing the 'double provision' as unjust. The Telegraph was inaccessible. Opposition figures, cited by BBC, criticized the delay in implementing the change, while the government framed it as a long-overdue correction to a 'gross unfairness' in the welfare system.
Why it matters
The policy closes a significant loophole in the welfare system, potentially freeing up funds for other services. It also addresses public concerns about fairness in how the state supports individuals who have committed serious crimes, balancing criminal justice with mental health care.
What to watch
The regulations are expected to be laid out in Parliament on Tuesday and come into force early next year. The full financial impact will be detailed in the 2026 Budget on 28 October. Victims' families may push for the reallocated funds to support crime victims.
- Criminals detained in hospital set to lose benefits BBC
- Nottingham killer stripped of benefits after Telegraph campaign The Telegraph
- Nottingham attacker Valdo Calocane ‘eligible for release in 2027’, mother of victim Barnaby Webber tells LBC LBC
- Nottingham attacks killer Valdo Calocane to lose benefits under new government rules Yahoo News UK
- Serious criminals detained in hospital to no longer receive benefits GB News
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