The Government has decided to reverse its plan to scrap mobility payments for disabled people living in residential care.

The Government had announced in last year’s Spending Review plans to save £160m by removing this benefit.

They will now amend the Welfare Reform Bill, ensuring 78,000 disabled people retain their independence.

Clare Pelham, chief executive of Leonard Cheshire Disability, commented: “We applaud the Government for listening to the thousands of disabled people who have raised this issue, and reversing the plan to scrap this vital benefit.

"This allowance is just so important for those who receive it – it can make the difference between being able to get out independently, and being trapped inside.

“Lord Low’s recent review of the mobility component of Disability Living Allowance showed very clearly that this benefit provides crucial support for people in residential care that is not being met from elsewhere."

The Government announced that it will not go ahead with previous plans to remove the mobility component of Personal Independence Payment (PIP), which is replacing Disability Living Allowance, from people living in residential care

The mobility component provides vital support to allow disabled people who live in residential care homes to get out independently by allowing them to meet some of the extra costs of accessing suitable transport or to purchase appropriate mobility aids.

The Low Review, chaired by Lord Low of Dalston CBE, was an independent review into how the personal mobility needs of people living in state-funded residential care are met.

Pelham added: “Responsible government is about active engagement with those people most affected by proposals for legislation. We are delighted that they have chosen to listen to disabled people and make this change. We look forward to working positively with the Government in future on other important proposals.”

The key findings of the review were:

Disability Living Allowance (DLA) mobility component, or its successor under Personal Independence Payment (PIP), should be retained. Its removal would lead to a loss of independence for disabled people

The report found no evidence of a duplication of funding in relation to the mobility needs being met by local authorities and those being met by DLA mobility.

There needs to be greater clarity of local authorities’ responsibilities for funding mobility needs and the role played by DLA mobility.

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