INCREASING the number of disabled people in work will not offset the impact of the government’s disability benefit reforms on poverty, research revealed today.

A report by data experts Policy in Practice and Welsh think tank the Bevan Foundation lays bare the likely impact of the Westminster government’s planned overhaul of disability benefits and universal credit.

Announced in March, the changes affect people too ill to work and have already prompted widespread concern that they could drive thousands of disabled people into destitution.

The analysis shows nearly 190,000 people in Wales — 6.1 per cent of the population — will be hit by the reforms, with an estimated £470 million sucked out of the Welsh economy.

New figures show that poverty rates among affected households in Wales could more than triple, soaring from 24.5 per cent to 78.4 per cent.

While the government claims that its plans to support more disabled people into employment will help offset some of the damage, the analysis shows that households affected by the changes will still be more than twice as likely to be living in poverty once the changes are fully rolled out.

The Bevan Foundation’s Dr Steffan Evans said the findings “make for incredibly grim reading,” adding: “It is clear that, without a rethink, [the] UK government’s proposed reforms to the benefits system will have a particularly severe impact on poverty in Wales, making life harder for thousands of disabled people.”

The report also shows that not only will more disabled people fall into poverty, but those already living in poverty stand to become significantly worse off — with some households losing more than £900 a month.

Dr Evans said: “The results highlight just how important the benefits system is in reducing poverty. 

“Whilst the UK government is right to take action to support disabled people back into work, work can only ever form part of the answer. 

“It is vital that the UK government maintains a strong safety net to ensure people can access the support they need.”

Plaid Cymru social justice spokeswoman Sioned Williams said the report shows “just how cruel” Labour’s cuts to benefits are.

“This is continued austerity and no amount of Labour spin can hide that,” she said.