Universal Credit is set to increase next month and millions of households will see their payments rise. In a process called “uprating”, benefits are given a boost at the beginning of each tax year in April.
The amount that benefits rise by is decided according to the rate of inflation. That way, those in receipt of financial support can keep on top of the rising prices of things like food and fuel.
This year, many benefits will increase by around 10.1%, which was the rate of inflation in September 2022. This includes Universal Credit.
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The Chancellor confirmed that Universal Credit was to be among the benefits receiving the rise. The average family on universal credit will see a boost of around £600 per year.
However, despite this seeming like good news on paper, with prices for everyday items continuing to rise across the board, this may only plug the gap slightly for those families who are struggling the most.
What are the changes to Universal Credit?
What increase you’ll get in your Universal Credit statement will depend on your circumstances. This is an overview of the changes from the Government’s benefit rates website,
Standard allowance (per month)
For those single and aged under 25, the standard allowance will rise from £265.31 to £292.11
For those single and aged 25 or over, the standard allowance will rise from £334.91 to £368.74
For joint claimants both under 25, the standard allowance will rise from £416.45 to £458.51
For joint claimants where one or both are 25 or over, the standard allowance will rise from £525.72 to £578.77
Universal Credit for those with children
Any extra payments you receive for children will also be going up next year.
For those with a first child born before April 6, 2017, the extra amount is going up from £290 to £319.29.
For those with a child born on or after April 6 2017, or a second child and subsequent child, the extra amount is going up from £244.58 to £269.28.
If you have a disabled child and receive a lower rate addition, your payment will increase from £132.89 to £146.31.
If you have a disabled child and receive a higher rate addition, your payment will increase from £414.88 to £456.78.
Universal Credit for those with limited capability for work
If you have limited capability for work, the extra support you'll receive will go up from £132.89 to £146.31.
If you have limited capability for work and work-related activity, the amount will go up from £354.28 to £390.06.
Universal Credit for those acting as carers
Universal Credit claimants can get an additional amount if they're caring for a severely disabled person for at least 35 hours a week. The amount you get a month will rise from £168.81 to £185.86.
Universal Credit for increased work allowance
The higher work allowance (no housing amount) for someone claiming Universal Credit with one or more dependent children or limited capability for work is going up from £573 to £631.
The lower work allowance for someone claiming Universal Credit with one or more dependent children or limited capability for work is going up from £344 to £379.
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