Martin Lewis is urging households with an income below £40,000 to check if they qualify for Universal Credit as an estimated 1.25 million families are missing out on an average of £9,600 each year in additional support. The consumer champion told Good Morning Britain (GMB) viewers on Wednesday that some 41 per cent of Universal Credit applicants are in work, encouraging them to do a quick online check to make sure they are not missing out.
Martin gave a quick overview of the benefit and who should claim along with a need-to-know summary of other financial support that millions of people could be missing out on - Pension Credit, Council Tax support and Carer’s Allowance.
He was also helped in the studio by benefits specialist Lee Healey, founder and CEO of IncomeMAX, who explained eligibility for the disability benefit, Attendance Allowance, and how to make a new claim. We have a full guide on the benefit specifically aimed at helping people over State Pension age here.
New analysis by the think-tank Policy in Practice suggests that the total amount of unclaimed income-related benefits and social tariffs is nearly £19 billion a year. In its newly published report, it estimates that £7.5 billion of Universal Credit is unclaimed by 1.25 million eligible households.
Martin explained how Universal Credit is the “catch-all benefit for people of working age to help with living and housing”.
He continued: “The crucial thing to understand here is that it is not just for people out of work, 41 per cent of people on Universal Credit are in work.”
To help people understand if they should make a claim, Martin said that anyone on a low income should check if they are eligible. However, he added: “But if your income is £40,000 a year, if you’ve got children and paying for childcare, if you’re paying for rent, you could still be entitled to Universal Credit.”
He clarified his rule of thumb: “Family income below £40,000, get yourself on an online benefits calculator, it’ll take about 10 minutes, put your details in, and see if you’re entitled to this. Even if you checked a year ago, because the thresholds went up in April there are a few people, not too many, who are now eligible who weren’t before.”
Summary of underclaimed means-tested benefits
- Universal Credit: 1.25m missing out on an average £9,600 each year
- Council Tax support: Up to 3m households missing out
- Carer’s Allowance: half a million unpaid carers missing out on up to £4,000 each year
- Pension Credit: 850,000 pensioner households missing out on £3,500 each year
- Child Benefit: 750,000 families missing out on an average £2,075 each year
- Broadband social tariffs: 5.3m households missing out on switching to a tariff from as little as £12
Online benefits calculators
Online benefit calculators quickly work out if you are missing out on any benefits and best of all, they are completely free, independent and confidential to use - so there’s nothing to lose.
In just a few minutes you could find out how much you may be able to claim in extra support, just by entering details about yourself, your residential status, your working status and any savings you have.
You can use an independent benefits calculator to find out:
- What benefits you could get
- How to claim
- How your benefits will be affected if you start work
Where to find help
Advice Direct Scotland
This online tool is the first to fully integrate devolved benefits, including the Scottish Child Payment.
It provides a free and impartial assessment of entitlement to a range of benefits such as Universal Credit, crisis grants and support payments.
Turn2us
Information on income-related benefits, Tax Credits, Council Tax Reduction, Carer’s Allowance, Universal Credit and how your benefits will be affected if you start work or change your working hours.
Policy in Practice
Information on income-related benefits, Tax Credits, contribution-based benefits, Council Tax Reduction, Carer’s Allowance, Universal Credit, how these are calculated and how your benefits will be affected if you start work or change your working hours.
entitledto
Information on income-related benefits, Tax Credits, contribution-based benefits, Council Tax Reduction, Carer’s Allowance, Universal Credit and how your benefits will be affected if you start work.
What you will need
You will need accurate information about your:
Savings
Income, including your partner’s
Existing benefits and pensions (including anyone living with you)
Outgoings (such as rent, mortgage, childcare payments)
Latest Council Tax bill
To keep up to date with the latest benefits news, join our Money Saving Scotland Facebook page here, follow us on Twitter @Record_Money, or subscribe to our newsletter which goes out Monday to Friday - sign up here.
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