Universal Credit, the state pension and other benefits could rise by hundreds of pounds next year.
These state benefits normally go up in April every year, which is known as "uprating".
The Department for Work and Pensions (DWP) will soon decide how much to increase many benefits by from the new tax year in April 2023.
We should know their plans by November 2022.
Normally benefits including Universal Credit, Personal Independence Payment, Housing Benefit and Employment and Support Allowance (ESA) go up based on inflation.
The DWP normally looks at inflation in the year to September then puts up benefits by that figure from the following April.
The state pension goes up in a process called the "triple lock".
This sees these pensions go up based on average earnings growth, inflation or 2.5% - whichever is greatest.
Rising inflation means many households are struggling.
But because inflation is currently so high, both benefits and state pensions could go up by more than 10% in 2023.
Yesterday The Mirror reported that UK inflation climbed to 10.1% in the 12 months to July as the cost of living crisis continues to squeeze household finances.
This is up from 9.4% in June - and means Consumer Prices Index (CPI) inflation is now five times higher than the Bank of England target of 2%.
Inflation could rise even more this year. The Bank of England has warned inflation could hit 13.3% in October, when the energy price cap is expected to soar.
A single Universal Credit claimant would get £334.91 per month on the standard allowance if aged 25 and above.
A 10% rise would see this go up to £368.4 a month, or an extra £401.88 a year.
The current maximum "new" state pension is £185.15 a week - or £9,627.80 a year.
If inflation is 10% this September, for example, this would mean the state pension goes up by £962.52 and tops £10,000 a year for the first time.
However, the high level of inflation means state pensioners will not be much better off in real terms - perhaps just 8p a week.
A Labour analysis of Bank of England figures shows that annual pensions worth £6,930 thirteen years ago will only see a real terms increase to £6,934 by next March.
And that is £462 down on April this year at 2022 prices as rising inflation whittles away retirement income.
Last month The Mirror reported that more than 40,000 families are in line to get an average of £8,900 by claiming the underpaid state pensions of dead family members.
Around 237,000 people have been underpaid the state pension by almost £1.5billion due to a mistake at the Department for Work and Pensions (DWP).
