SNP MP Martyn Day has asked the Department for Work and Pensions (DWP) if it has considered increasing Universal Credit payment rates for claimants under the age of 25, who are paid £76.63 less than people over that age threshold, on the standard allowance.
Following the annual benefits uprating in April, a single person claiming Universal Credit under the age of 25 receives 292.11 on the standard allowance each assessment period, while someone over 25 receives £368.74. Joint claimants both under 25 receive £458.51 while joint claimants, one or both 25 or over get paid £578.82.
The MP for Linlithgow and East Falkirk asked DWP what assessment it has made of the “potential merits of increasing Universal Credit payments for people under 25 to the same rate as for people over 25”. In a written response earlier this week, Guy Opperman MP responded that “no such assessment has been made”.
The DWP Minister for Employment continued: “Universal Credit provides those who are under 25 with lower rates than those aged 25 and over. This is to reflect the fact that these claimants are more likely to live in someone else’s household and have lower living costs. It also reflects the lower wages that younger workers typically receive.
“However, it is acknowledged that some claimants under 25 do live independently, which is why Universal Credit includes separate elements to provide support to claimants for these additional costs. These additional amounts are provided in a similar way to all claimants.”
All Universal Credit claimants who meet the qualifying criteria for the £900 means-tested cost of living payment will receive three lump sums over the 2023/24 financial year. The first of these for £301 is currently being paid to more than 8 million claimants and will continue until May 17, 2023.
Further payments of £300 and £299 are due in the autumn and spring 2024.
Universal Credit payment rates 2023/24
The DWP has published a full online guide to the increases for State Pensions, benefits and the increased benefit cap on the GOV.UK website here..
Below is a quick overview of the new rates for Universal Credit including additional elements.
Universal Credit (Monthly rates shown)
Standard allowance
- Single under 25: £292.11
- Single 25 or over: £368.74
Couple
- Joint claimants both under 25: £458.51
- Joint claimants, one or both 25 or over: £578.82
Child amounts
- First child (born prior to 6 April 2017): £315.00
- First child (born on or after 6 April 2017)/ second child and subsequent child (where an exception or transitional provision applies): £269.58
Disabled child additions
- Lower rate addition: £146.31
- Higher rate addition:£456.89
Limited Capability for Work
- Limited Capability for Work amount: £146.31
- Limited Capability for Work and Work-Related Activity amount: £390.06
Carer amount
- Carer amount: £185.86
Childcare costs amount .
- Maximum for one child: £646.35 (no change)
- Maximum for two or more children: £1,108.04 (no change)
Non-dependants’
- Non-dependants’ housing cost contributions: £85.73
Work allowances
- Higher work allowance (no housing amount) one or more dependent children or limited capability for work: £631.00
- Lower work allowance one or more dependent children or limited capability for work: £379.00
You can find out about the new deduction rates for Universal Credit on the GOV.UK website here.
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