The Department for Work and Pensions (DWP) is launching a major crackdown that will see killers and violent offenders detained in hospital stripped of their welfare benefits.
Closing the Loophole on Benefit Payments
Announced on Friday, January 16, 2026, the new policy means offenders who have pleaded diminished responsibility will be treated the same as convicted criminals serving prison sentences. This closes a legal loophole that previously allowed such individuals to continue claiming state support, including Universal Credit payments that can exceed £800 per month.
The reform, introduced by the Labour Party government, has been directly prompted by cases like that of Nottingham killer Valdo Calocane. It ensures that those convicted of the most serious violent crimes will no longer have access to the benefits system while detained.
Government and Campaigner Reaction
Work and Pensions Secretary Pat McFadden stated the change was necessary to correct an injustice. "I don’t think there’s a single household who believes it’s right convicted criminals receive thousands of pounds a year in benefits," he said. "That’s why I’m acting to right the wrongs within our benefits system, so it supports people who genuinely need it."
Prime Minister Sir Keir Starmer echoed this sentiment, emphasising the burden on taxpayers. "It cannot be right offenders convicted of the most serious crimes continue to receive benefits they don’t need at the expense of the taxpayer," he said.
The move has been strongly welcomed by campaigners, including the parents of Grace O'Malley-Kumar, one of Calocane's victims. Dr Sanjoy Kumar and Dr Sinead O'Malley 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."
Who Will Not Be Affected
The DWP has been clear that the crackdown will not impact individuals who have been sectioned under the Mental Health Act but have not committed any criminal offence. The policy is specifically targeted at those who have been convicted of violent crimes, including murder and manslaughter, but detained in a hospital setting rather than a prison due to diminished responsibility.
This significant shift in policy aligns the treatment of these offenders with that of the wider prison population and is seen as a key step in ensuring the welfare system supports the most vulnerable, not those convicted of grave crimes.