Some young people could see reductions to the benefits they are entitled to, under a radical overhaul of the system to be recommended by a government-commissioned review.
Alan Milburn's year-long report, which will be published on Tuesday, will recommend moving under-25s off the main sickness and disability benefits, the Times reported, external.
Milburn, a former Labour health secretary, has been tasked by the government with helping reduce the one in eight 18- to 24-year-olds in the UK who are not in education, employment or training - or "Neet".
He said on Wednesday night that his plans would not be "pain-free" and would affect both existing and new claimants.
His report is expected to recommend that under-25s are no longer able to claim the health element of universal credit or personal independence payment (Pip).
Instead, they would receive an allowance on the same basic rate as universal credit.
Some could be eligible for a new "additional cost allowance" to cover day-to-day costs related to their conditions.
But many claimants would receive less under the plans, which the government is set to take forward into legislation in the new year.
Milburn, a Labour MP from 1992 to 2010, is also expected to recommend an investment of billions into more employment support for young people, including work placements, job subsidies and one-to-one personal…
