What does the Autumn Budget 2025 mean for people with MS?
On Wednesday 26 November 2025, Chancellor Rachel Reeves MP delivered the UK Government’s Autumn Budget. This announcement sets out the government’s plans for tax, borrowing and spending for the next year.
We watched the Chancellor’s speech to see if any plans would impact people affected by MS. Here’s a summary of the relevant announcements for the MS community.
The government shared several policies, including:
- changes to the PIP assessment, including making award reviews less frequent and increasing face-to-face assessments.
- changes to the Motability scheme, including ending Value Added Tax (VAT) and Insurance Premium Tax (IPT) exemptions. And removing certain vehicle models from the scheme.
- establishing 250 Neighbourhood Health Centres to bring care into the community, with 120 centres running by 2030.
The Scottish budget takes place on 13 January 2026. This will set out the impact of these changes in Scotland.
Key healthcare announcements
- Neighbourhood health
The government announced it will create 250 Neighbourhood Health Centres, with 120 running by 2030. General practice, community clinics and some outpatient services will be more locally accessible. Bringing care closer to home could mean faster access to reviews and advice. And reduce avoidable trips to hospital for people with MS.
- Investing in NHS technology
The government is investing £300 million in NHS technology to boost productivity, support staff and improve patient outcomes. This is to ensure people will be guided to the right care through one service, with their information easily shared across providers. The funding will also give patients better access to their digital health records, helping them make informed choices about their care.
What we think
We’re pleased to see the government take steps to move people’s care closer to home. However, this shift must deliver what people with MS actually need. Many people already face long waits, limited access to treatments, and disjointed care. Getting what you need can be a postcode lottery. The new Neighbourhood Health Centres must be designed with, and for, people with neurological conditions. This means supporting quicker diagnosis and making essential services, such as neurorehabilitation, easier to access.
Investment in technology is also a welcome and necessary development. However, it cannot replace investment in the people who deliver MS care. Every day, people call us to say they can't see their MS nurse or neurologist when they need to.
Yet the workforce is almost absent from the Budget. The upcoming NHS workforce plan must make sure there is a sustainable workforce to deliver the care that people with MS need. The plan must include neurologists, specialist nurses, therapists, and community health professionals. With the skills to deliver the right care at the right time.
Key social security and employment announcements
- Reducing PIP reassessments
Currently, people who receive PIP are reassessed every few years. This is called an ‘award review’. The government is changing how often these reviews happen. From April 2026, people aged over 25 will be reassessed less often.
- More face-to-face assessments
Most people who are assessed for PIP go through a phone or video assessment. The government has said they will increase the number of face-to-face assessments.
- Increasing benefits
Some disability and carer benefits will increase by 3.8% with the rate of inflation in April 2026. These include:
- PIP
- Universal Credit
- Disability Living Allowance
- Employment and Support Allowance
- Carers Allowance
The standard allowance for Universal Credit will increase by 6% in April 2026. However, the health element for this benefit, paid to disabled claimants, will be frozen at £97 a week for current claimants from April 2026 until 2029/2030. The health element will be paid at £50 a week to new claimants for this same period.
- Reforms to the Motability Scheme
People on the higher rate mobility payment for PIP or Adult Disability Payment (ADP) can exchange all or part of this money for a Motability Scheme vehicle. If they want a vehicle that costs more than the PIP or ADP payment will cover, they must also pay an advance payment. The government is changing rules around tax so that people will now pay more for this advance payment. Tax relief will also be removed from insurance contracts on the scheme.
This will affect new Motability leases from July 2026. We expect that advance payments will increase by a few hundred pounds over the next few years. Weekly lease prices, which are paid for by people's PIP or ADP payments, will not increase due to the changes. There will continue to be 40-50 vehicles on the scheme without advance payments.
What we're saying
Charles Gillies, Policy Co-Chair of the Disability Benefits Consortium and Senior Policy Officer at the MS Society, says: “Many disabled people, including those with long-term progressive conditions like MS, will welcome the reduction in Personal Independence Payment (PIP) reassessments – which are often stressful and unnecessary. The government is also doing the right thing by scrapping the two-child benefit cap, which will help lift many disabled families out of poverty.
“Being realistic, there is a long way to go to ensure that all disabled people can get the support they need to live independent lives. This includes the government honouring its commitment to work with disabled people to improve our benefits system through the Timms review. Crucially, today’s positive announcements must not be used as a trade-off for cuts to disability benefits in the future – which we know will worsen people’s health and push more into poverty.”
What we think
We know that welfare support is crucial for many with MS. However, PIP reassessments can be unnecessary, stressful, and lead to people losing out on support. So we’re pleased to hear that the government will reduce their frequency. The government must build on this positive step. By working with disabled people in the Timms Review to address long-standing issues in the PIP assessment. Including how mobility, fluctuating conditions, and invisible symptoms are assessed.
We welcome the inflationary increase to incomes of people with MS who rely on these benefits to cover their essentials and extra costs. However, we know many people will still struggle financially. Including people with MS who are unable to work and rely on benefits like Universal Credit. The government must review these rates so that everyone is able to live free from poverty.
Some people with MS need more expensive vehicles from the Motability Scheme to better meet their needs. We’re concerned that the changes to the scheme will mean they’re likely to end up paying more over the coming years. They may be forced to cut down on spending in other areas of their lives to afford this. The government must work to make transport more accessible and affordable for disabled people.
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