Get all your news in one place.

100’s of premium titles.
One app.

Start reading

Get all your news in one place.

100’s of premium titles. One news app.

Start reading

Daily Record

Lifestyle

Linda Howard

DWP confirms new payment rates from next April for PIP, State Pension, Universal Credit and other benefits

DWP Universal Credit HMRC Disability GovUK

There are an estimated 19.2 million families and 39.8 million individuals across the UK currently in receipt of State Pension or benefits from the Department for Work and Pensions (DWP) and HM Revenue and Customs (HMRC) who will see their payments go up by 10.1% next year. The uprating will come into effect on April 10, 2023.

While that may seem a long way off, it offers a good opportunity to start planning your household budget early to find out how the increase could boost your finances, especially as the ongoing cost of living crisis shows no signs of slowing. Just remember that although the uprating comes into effect at the start of April, it won’t be seen in most payments until May as most tend to run four weeks behind.

Both DWP and HMRC have now published full details of the new payment rates, revised benefit cap and tax Credits thresholds on GOV.UK. We have summarised the changes below and listed them in alphabetical order to make it easier to find the payment you’re looking for.

DWP State Pension and benefit payment rates 2023/24

The benefit cap will rise from £23,000 to £25,323 for families in Greater London and from £20,000 to £22,020 for families elsewhere across the UK.

Lower caps for single households without children will rise from £15,410 to £16,967 in Greater London and from £13,400 to £14,753 nationally.

Weekly rates are shown, unless otherwise stated.

Attendance Allowance

Higher rate: £101.75 (from £92.40)
Lower rate: £68.10 (from £61.85)

Carer’s Allowance

April 2023 rate: £76.75 (from £69.70)

Disability Living Allowance / Child Disability Payment

Care Component

Highest: £101.75 (from £92.40)
Middle: £68.10 (from £61.85)
Lowest: £26.90 (from £24.45)

Mobility component

Higher: £71.00 (from £64.50)
Lower: £26.90 (from £24.45)

Employment and Support Allowance (ESA)

Under 25: £67.20 (from £61.05)
25 or over: £84.80 (from £77.00)

Incapacity Benefit (long-term)

April 2023 rate: £130.20 (from £118.25)

Income Support

Under 25: £67.20 (from £61.05)
25 or over: £84.80 from (£77.00)

Jobseeker’s Allowance (contributions based)

Under 25: £67.20 (from £61.05)
25 or over: £84.80 (from £77.00)

Jobseeker’s Allowance (income-based)

Under 25: £67.25 (from £61.05)
25 or over: £84.80 (from £77.00)

Maternity/Paternity/Shared Parental Allowance

Standard rate: £172.48 (from £156.66)

Pension Credit

Single: £201.05 (from £182.60)
Couple: £306.85 (from £278.70)

Personal Independence Payment (PIP) / Adult Disability payment

Daily Living Component

Enhanced: £101.75 (from £92.40)
Standard: £68.10 (from £61.85)

Mobility Component

Enhanced: £71.00 (from £64.50)
Standard: £26.90 (from £24.45)

State Pension

Full New State Pension: £203.85 (from £185.15)
Basic Old State Pension (Category A or B): £156.20 (from £141.85)

Widow’s Pension

Standard rate: £139.10 (from £126.35)

Universal Credit (Monthly rates shown)

Standard allowance

Single under 25: £292.11 (from £265.31)
Single 25 or over: £368.74 (from £334.91)

Couple

Joint claimants both under 25: £458.51 (from £416.45)
Joint claimants, one or both 25 or over: £578.82 (from £525.72)

You can read the full guide to changes in payments from DWP from April 2023 on GOV.UK here.

Payments and benefits from DWP and HMRC are due to rise by 10.1% from April 2023 (Getty)

Child Benefit payment rates for 2023/24

There are two Child Benefit rates in place.

Current rates per week

Eldest or only child - £21.80
Additional children - £14.45

New rates per week - from April 2023

Eldest or only child - £24.00
Additional children - £15.90

Guardian's Allowance rates from April 2023

The new weekly rate for Guardian's Allowance will be £20.40 - an increase of £1.85 on the current 2022/23 rate of £18.55.

Working Tax Credit rates for 2023/24 (yearly amount shown)

Working Tax Credit is paid to people who are in work and on a low income – it does not matter whether you are an employee or self-employed, and you do not need to have children to get the payment.

Child Tax Credit is paid to people who have children and is paid in addition to Child Benefit and the Scottish Child Payment - you do not have to be working to receive it.

Here are the details of the proposed new payment thresholds and rates for the 2023/24 financial year.

Working Tax Credit income threshold

2023/24 rate: £7,455
2022/23 rate: £6,770

Basic element

2023/24 rate: £2,280
2022/23rate: £2,070

Couples and lone parent element

2023/24 rate: £2,340
2022/23 rate: £2,125

30-hour element

2023/24 rate: £950
2022/23 rate: £860

Disabled worker element

2023/24 rate: £3,685
2022/23 rate: £3,345

Severe disability element

2023/24 rate: £1,595
2022/23 rate: £1,445

Child Tax Credit rates for 2023/24 (yearly amount shown)

Child Tax Credit income threshold

2023/24 rate: £18,725
2022/23 rate: £17,005

Family element

2023/24 rate: £545 (no change)
2022/23 rate: £545

Child and qualifying young person element

2023/24 rate: £3,235
2022/23 rate: £2,935

Child disability element

2023/24 rate: £3,905
2022/23 rate: £3,545

Severely disabled rate of the child disability element

2023/24 rate: £1,575
2022/23 rate: £1,430

You can read the full list of proposed payment rate and threshold changes from HMRC on the GOV.UK website here.

To keep up to date with the latest benefits news, join our Money Saving Scotland Facebook page here, or subscribe to our newsletter which goes out four times each week - sign up here.