People should collect Employment Support allowance (ESA) after a Work Capability Assessment (WCA) the Sickness Absence Review has concluded.
Currently the ESA has an initial assessment stage, where claimants are paid while waiting for a WCA although some bypass this stage if they have sufficient medical evidence not to need a face-to-face WCA.
Dame Carol Black and David Frost, the reports authors, said: "It takes an average of 17 weeks for people claiming ESA to be assessed and then over 60 per cent are actually found fit for work (accounting for those who successfully appeal against being found fit, the proportion found fit is still over 50 per cent).
"This builds an unacceptable delay into the journey to get people back to work."
The report adds that the recommendation should be supported by reformed processes within Jobcentre Plus, to prevent high numbers of claimants being inappropriately directed towards ESA.
"We estimate that this change could save the State up to £100 million a year, with an increase in economic output of up to £300 million," said the authors.
