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Glasgow Live

National

David Bentley & Alexander Smail

DWP confirms benefit boost for Universal Credit, PIP and more

DWP Universal Credit Department for Work and Pensions

The Department for Work and Pensions (DWP) has confirmed that a benefits payment boost will be announced later in 2022.

The primary causes of the impending rise are inflation and wage levels. The "national economic situation" amid the worsening cost of living crisis will also be taken into account when deciding the new rates.

All benefits get a yearly boost each April, with a 3.1 per cent rise for the 2022/23 financial year. This boost was calculated using inflation as of September 2021, which was far lower than it is now.

The newest data reveals that there are more than 31 million people across the UK who claim benefits from the DWP, including 5.8 million Universal Credit claimants and 2.8 million Personal Independence Payment (PIP) claimants. In addition, 1.8 million people receive Employment and Support Allowance (ESA).

Regarding the boost next year, Liberal Democrat MP for North East Fife Wendy Chamberlain requested that the Secretary of State for Work and Pensions reveal "what factors her Department will take into account when it next makes an assessment of the potential merits uprating of benefits; and whether the energy price cap will be taken into account when making that assessment."

In a written parliamentary response, DWP minister David Rutley stated: "The Secretary of State for Work and Pensions is required to undertake an annual statutory review of benefits and pensions. She uses the Consumer Prices Index (CPI) in the year to September to measure inflation and average weekly earnings for the period May to July to measure earnings. The Office for National Statistics publish these figures in October.

"The Secretary of State must increase certain benefits by at least the increase in prices or earnings. If she considers it appropriate, having regard to the national economic situation and any other matters which she considers relevant, she may increase others by such a percentage(s) as she thinks fit.

"Her review will commence in the autumn and her decisions will be announced to Parliament in November in the normal way."

With soaring inflation, a big rise in benefits could be on the way next April. As reported by Birmingham Live, the extent of the boost will be announced later this year.

The DWP has previously confirmed that it will not introduce any additional payment rises to help households amid the ongoing cost of living crisis. Help previously announced this year includes the £650 cost of living payment, and a one-off £150 sum for those on disability benefits.

In response to MPs who questioned why the UK Government was issuing these one-off payment instead of increasing benefits, Secretary of State for Work and Pensions Therese Coffey said: "We recognise this is intended to be a one-off payment for this year. It is not intended to be a permanent benefit.

"The Government's recognised the challenges that people are facing. We didn't want to necessarily change ratings beyond what we'd already done with my annual rating review. Some of that would mean locking in, but we come back, frankly, to some of the challenges of our IT systems.

"UC (Universal Credit) is far more agile, our legacy benefits aren't, and it's absolutely critical that people on both legacy benefits and UC were to get this payment. We're confident that we'll get those payments out the door."

What are the current DWP payment rates for 2022-2023?

Read on for the full benefit rates for the current financial year. Included in brackets are the previous year's values.

Weekly rates are shown, unless otherwise stated.

Attendance Allowance

Higher rate: £92.40 (from £89.60)
Lower rate: £61.85 (from £60.00)

Bereavement Benefit

For deaths between April 9, 2001 and April 5, 2017

Widowed Parent's Allowance: £126.35 (from £122.55)

Bereavement Support Payment

For deaths occurring on or after April 6, 2017

Standard rate (lump sum) £2,500 (no change)
Standard rate monthly payments £100 (no change)
Higher rate lump sum stays at £3,500 (no change)
Higher rate monthly payments £350 (no change)

Carer’s Allowance

£69.70 (from £67.60)

Disability Living Allowance

Care Component

Highest: £92.40 (from £89.60)
Middle: £61.85 (from £60.00)
Lowest: £24.45 (from £23.70)

Mobility component

Higher: £64.50 (from £62.55)
Lower: £24.45 (from £23.70)

Employment and Support Allowance (ESA)

Under 25: £61.05 (from £59.20)
25 or over: £77 (from £74.70)

Housing Benefit

Under 25: £61.05 (from £59.20)
25 or over: £77.00 (from £74.70)
Entitled to main phase ESA: £77.00 (from £74.70)

Incapacity Benefit

Long-term: £118.25 (from £114.70)

Income Support

Under 25: £61.05 (from £59.20)
25 or over: £77.00 from (£74.70)

Industrial death benefit

Widow's pension higher rate: £141.85 (from £137.60)
Widow's pension lower rate: £42.56 (from £41.28)
Widower's pension: £141.85 (from £137.60)

Jobseeker's Allowance

Contribution-based JSA

Under 25: £61.05 (from £59.20)
25 or over: £77.00 (from £74.70)

Income-based JSA

Under 25: £61.05 (from £59.20)
25 or over: £77.00 (from £74.70)

Maternity/Paternity/Shared Parental Allowance/Statutory Parental Bereavement Pay

Standard rate: £156.66 (from £151.97)

Pension Credit

Single: £182.60 (from £177.10)
Couple: £278.70 (from £270.30)

Personal Independence Payment (PIP)

Daily Living Component

Enhanced: £92.40 (from £89.60)
Standard: £61.85 (from £60.00)

Mobility Component

Enhanced: £64.50 (from £62.55)
Standard: £24.45 (from £23.70)

State Pension

New State Pension

£185.15 (from £179.60)

Old State Pension

Category A or B Basic: £141.85 (from £137.60)
Category B (lower) basic pension - spouse or civil partner's insurance: £85 (from £82.45)
Category C or D - non-contributory: £85 (from £82.45)

Widow's Pension

Standard rate: £126.35 (from £122.55)

Universal Credit (monthly rates shown)

Standard allowance

Single

Single under 25: £265.31 (from £257.33)
Single 25 or over: £334.91 (from £324.84)

Couple

Joint claimants both under 25: £416.45 (from £403.93)
Joint claimants, one or both 25 or over: £525.72 (from £509.91)

Child amounts

First child (born prior to 6 April 2017): £290.00 (from £282.60)
First child (born on or after 6 April 2017) or second child and subsequent child (where an exception or transitional provision applies): £244.58 (from £237.08)

Disabled child additions