Criminals in Hospital to Lose Benefits

Why the Government are “closing a loophole” that will impact on prisoners held in hospital.

The government has announced proposals to remove state benefits from convicted criminals detained in hospitals under court orders.

The plans are aimed at closing what ministers describe as a loophole that allows some serious offenders to continue receiving hundreds of pounds a month in benefits while their accommodation, care and treatment are publicly funded.

Under the proposals, offenders convicted of serious crimes such as manslaughter, rape and violent offences, who are detained in hospital rather than prison, would be treated in the same way as prisoners for benefits purposes.

Prisoners are already barred from claiming Universal Credit.

What Is Changing?

At present, an offender detained under a hospital order can receive more than £800 per month in Universal Credit, potentially amounting to thousands of pounds over a long period of detention.

The government is seeking to remove entitlement to benefits where individuals are held under court order and their living costs are fully covered by the state.

The proposals would not apply to people who have been sectioned under mental health legislation but have not committed a criminal offence.

The stated aim is to draw a clear distinction between therapeutic detention and detention following conviction.

Why Hospital Orders Exist

Hospital orders are imposed where the court determines that treatment in a secure medical setting is more appropriate than imprisonment.

These orders often involve complex considerations around mental health, risk, public protection and long-term rehabilitation.

From a legal perspective, hospital orders are not a softer option.

They can result in lengthy and indeterminate detention, often longer than an equivalent prison sentence, with release dependent on clinical assessments rather than a fixed release date.

Criminal Defence Considerations

These proposals raise important issues for defendants and their legal advisers.

Decisions about whether a defendant is sentenced to prison or made subject to a hospital order are finely balanced and can depend on expert psychiatric evidence, risk assessments and mitigation.

The potential removal of benefits may become a relevant consideration during sentencing discussions, particularly where a hospital order is being explored as an alternative to custody.

Defence solicitors will need to ensure that clients fully understand the wider financial and practical consequences of different sentencing outcomes.

It is also likely that the proposals will generate legal challenges and careful scrutiny, particularly around proportionality, discrimination, and the treatment of offenders with serious mental health conditions.

Mitigation, Vulnerability and Individual Circumstances

While the government has emphasised fairness to taxpayers and victims, the law requires courts to assess each case on its individual facts.

Mental illness, capacity, risk of harm, and prospects of rehabilitation remain central to sentencing decisions.

Any future changes to benefit entitlement will need to operate alongside existing safeguards to ensure that offenders detained in hospital continue to receive appropriate care, treatment and support, particularly where they lack external family or financial assistance.

What Happens Next?

The Department for Work and Pensions has confirmed it will consult with clinicians, mental health experts, victims’ groups and other stakeholders before any final changes are introduced.

This reflects the sensitive and complex nature of the issue.

For individuals currently detained under hospital orders, and those facing sentencing where such an order is being considered, specialist legal advice is essential.

Changes to benefit entitlement may have significant long-term implications and should be factored into any defence strategy.

What to look out for moving forward.

This proposed reform highlights the increasing overlap between criminal justice, mental health law and welfare policy.

While aimed at closing perceived loopholes, it underscores the importance of careful, informed advocacy when representing vulnerable defendants facing life-altering court orders.

Hospital orders remain a vital part of the justice system, but they carry consequences far beyond detention alone.

Understanding those consequences is crucial for anyone navigating the criminal courts.

How We Can Help.

If you have any questions or concerns regarding this article or any other aspects of criminal defence – call us now on 0161 477 1121 or email us.