Reform proposes ban on most benefits for foreign nationals in UK

Reform proposes ban on most benefits for foreign nationals in UK

The move would require renegotiating the UK's Brexit deal and could risk stripping British expats living in the EU of similar rights. Watch: Some benefit claimants 'can work but have chosen not to', says Jenrick Foreign nationals would be excluded from most benefits under a Reform UK government, the party has said. The ban, part of a proposed overhaul of Britain's benefits system, would include European Union (EU) nationals with settled status in the UK, meaning a renegotiation of the UK's Brexit deal with the EU. In a speech on Monday, the party's economy spokesman, Robert Jenrick, said: "The British taxpayer is acting as the welfare state for the world. That's unfair, we all know it." Reform claims the policy would save ยฃ21bn a year by its fifth year, but Labour insists the "vast majority" of migrants have no access to benefits and the Conservatives have dismissed the plans as "cobbled together". Jenrick said there had to be a change of approach to "restore fairness" to the welfare system. He said one-in-six Universal Credit claimants are not a British or Irish citizen and suggested the money should instead be used to "make the lives of British people better". This year the government expects , external to spend a total of ยฃ322bn on welfare in Great Britain, or 10.6% of GDP, just over half of which goes to pensioners. Reform says it has spent six months drawing up a 50-page plan that it claims will save a total of ยฃ50bn a year.

Jenrick said the proposals also include a "welfare to work" scheme which will require people who have claimed benefits for more than 12 months to provide 20 hours-a-week of work for their community. This would apply to those deemed fit to work and will be organised by their local council, the MP said. Those who fail to take part or poorly perform will face sanctions, including potential cuts to their benefits, according to Reform's policy document. Jenrick said: "They'll work to clean up high streets and parks, to beautify neglected places, to carry out minor repairs to staff libraries and community centres, to perform many other tasks from the list that we've published today." In an interview with the BBC, Jenrick would not say how many people would lose access to benefits but insisted his party would treat people claiming benefits "with respect and dignity". "Those who need them, under a Reform government, will continue to receive them but those people who are shirking, who are taking advantage, they will be reassessed and they will be helped back into the workplace. Welfare cuts: What's been happening with Pip and universal credit? Reform UK pledges to cut welfare to keep pensions triple lock On Saturday, the party said it would replace the disability payments system, Pip , if it entered Number 10 at the next election. The latest proposals would ban foreign nationals from almost all welfare payments including housing benefit, pension credit, jobseeker's allowance, child benefit, free childcare and disability benefits. Only a small number of exemptions would apply, including the war widows pension and Armed Forces compensation.

Reform claims that by 2029, around 1.5 million adults who are not British citizens would receive Universal Credit and around 215,000 would receive Pip. The party had previously pledged to ban foreign nationals from claiming Universal Credit . Given those affected would include EU nationals with settled status , external who have an indefinite right to live, work and study in the UK - and have usually lived in the UK for a continuous five-year period - the Brexit deal secured under the last Tory government would need to be renegotiated. It means potentially that British expatriates living in the EU could lose equivalent rights. Figures published in 2025 showed that more than a million UC claimants were born overseas , including around 700,000 EU citizens who arrived in the UK before Brexit and have the right to live and work in the UK. The party said it had accounted for a potential ยฃ500m cost of British expats returning from the EU to the UK to claim benefits if the EU retaliates. Reform UK MP Danny Kruger told BBC Breakfast it is a "reasonable principle" that the country to which people are citizens of should be paying their welfare. He said: "So I'd understand if the Europeans decided to apply the same principle that we are and to deny our nationals access to their welfare system and we will pay for that ourselves." Asked what would happen to British people living abroad who claim a disability benefit, Kruger replied: "They would have two options - they can either return to the UK, they might wish to do that if the benefits system is preferable for them, but we're open to a negotiation that it might mean that we could pay British disability benefits to them, if they qualify under our new scheme." Reform's plans also include making businesses with more than five members of staff paying a "return to work cover" insurance to fund the cost of the first two years after an employee is signed off sick.

Sources cited: ๐Ÿ“ฐ BBC Politics โ†—

โšก Effects Interpreter

๐ŸŒWorld Economy

  • โ–ถInternational partners might recalibrate after moves like this.
  • โ–ถPolicy turns can send quiet ripples through the wider economy.

๐Ÿ™๏ธLocal Economy

  • โ–ถYour weekly shop could get a touch dearer, or cheaper, over time.
  • โ–ถJobs and trade close to home may feel a soft knock-on effect.

๐ŸฆRates & Banks

  • โ–ถRate-setters tend to wait for calm before acting.
  • โ–ถBorrowing costs could hold while the political picture clears.

โค๏ธHealth

  • โ–ถCommunity wellbeing may dip a little while people wait for clarity.
  • โ–ถLocal health services could get busier depending on how things develop.

๐Ÿ’ทWealth

  • โ–ถLong-term savers usually ride out these small bumps just fine.
  • โ–ถAny hit to your money is more likely a ripple than a wave.

๐Ÿ Housing

  • โ–ถThe property market tends to move slowly, so expect any change to take time.
  • โ–ถMortgage deals could edge around if lenders read the wider mood.
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Editorial note: This analysis was produced by the News Effects Interpreter, an AI editorial tool that cross-references 1 independent news sources and contextualises events in terms of their real-world impact on ordinary people. Original reporting is linked above. News Effects does not alter the facts of source reports.