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Nottingham Post
Nottingham Post
National
David Bentley

DWP rules as Universal Credit claimants say their payments have not increased

The Department for Work and Pensions (DWP) has moved to reassure claimants after many complained they had not seen an increase in payments - despite new rates being introduced.

Chancellor Jeremy Hunt announced a 10.1% boost in his Autumn Statement, meaning new rates were due to come in on April 1. Claimants in receipt of Universal Credit, Jobseeker's Allowance (JSA), Employment and Support Allowance (ESA), Personal Independence Payment (PIP), Carer's Allowance and the State Pension are all impacted by the rise.

However, due to the way claims are processed, it means many will not see the uplift until this month - or possibly next month, Chronicle Live reports.

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We've had a look at the explanation of the rules.

Why has my Universal Credit not gone up?

Universal Credit is paid in arrears after a previous four-week assessment period when the DWP looks at a person's financial situation, including any wages or savings, to see how much benefit they'll get. The DWP statement for every Universal Credit payment should state the assessment period it is based on.

Any assessment period that started before the April 10 rise will mean the Universal Credit coming from that is still paid out at the old rate for 2022-2023. Claimants need a full assessment period that starts after April 10 in order to see the new rates in their next Universal Credit payment.

It means people on Universal Credit won't see the benefit increase take effect until May or June. In fact, May 16 will be the earliest payment date to have the new rates applied.

So, assessment periods starting on or after April 10 up to April 25 will see their Universal Credit increase in May, and assessment periods starting on or after April 26 will see the increase in June.

What about other benefits?

Other benefits, also paid in arrears, are worked out on weekly rates, but paid out fortnightly or monthly. For instance, Personal Independence Payment (PIP) is paid every four weeks and Employment and Support Allowance (ESA) every two weeks.

So people will see a mix of old and new rates for any payment period that started before April 10. When they have a full period of two or four weeks that has started after April 10, all of their next payment will be at the new rate.

For instance, a PIP payment due on April 24 will include two weeks at the old rate and two weeks at the new rate as it covers four weeks from March 27, with just two of those after the new rise took effect. Their next payment on May 22 will all be at the new rate.

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