An estimated 19.2 million families and 39.8 million individuals across the UK currently in receipt of State Pension or benefits from the Department for Work and Pensions (DWP) and HM Revenue and Customs (HMRC) will see their payments go up by 10.1% next year.
In his Autumn Statement, Chancellor Jeremy Hunt confirmed that State Pension, disability and working age benefits will be uprated by 10.1% from April in line with the rate of inflation in September, at a cost of £11 billion to the UK Government. Mr Hunt said there had been some arguments to uplift working age and disability benefits below the level of inflation, but said that “would not be consistent with our commitment to protect the most vulnerable”.
The Chancellor said: “That is an expensive commitment, costing £11 billion, but it means 10 million working age families will see a much-needed increase next year, which speaks to our priorities as a Government and our priorities as a nation.”
He added: “On average, a family on Universal credit will benefit next year by around £600, and to increase the number of households who can benefit from this decision I will also exceptionally increase the benefit cap with inflation next year.”
This means the benefit cap will rise from £23,000 to £25,323 for families in Greater London and from £20,000 to £22,020 for families nationally.
Lower caps for single households without children will rise from £15,410 to £16,967 in Greater London and from £13,400 to £14,753 nationally.
DWP confirms new payment rates from 2023 to 2024
Subject to Parliamentary approval, inflation-linked DWP benefits, Tax Credit elements and benefits administered by HMRC will rise by 10.1% from April 2023. The Basic and New State Pensions will also be uprated by 10.%, in line with the Triple Lock.
The DWP confirmed the new weekly payment rates on Wednesday, November 23 and published a full online guide to the increases for State Pensions, benefits and the increased benefit cap on GOV.UK.
Below are the new weekly payment rates.
Weekly rates are shown, unless otherwise stated and have been rounded as per the UK Government policy.
Attendance Allowance
- Higher rate: £101.75 (from £92.40)
- Lower rate: £68.10 (from £61.85)
Carer’s Allowance
- April 2023 rate: £76.75 (from £69.70)
Disability Living Allowance / Child Disability Payment
Care Component
- Highest: £101.75 (from £92.40)
- Middle: £68.10 (from £61.85)
- Lowest: £26.90 (from £24.45)
Mobility component
- Higher: £71.00 (from £64.50)
- Lower: £26.90 (from £24.45)
Employment and Support Allowance (ESA)
- Under 25: £67.20 (from £61.05)
- 25 or over: £84.80 (from £77.00)
Incapacity Benefit (long-term)
- April 2023 rate: £130.20 (from £118.25)
Income Support
- Under 25: £67.20 (from £61.05)
- 25 or over: £84.80 from (£77.00)
Jobseeker’s Allowance (contributions based)
- Under 25: £67.20 (from £61.05)
- 25 or over: £84.80 (from £77.00)
Jobseeker’s Allowance (income-based)
- Under 25: £67.25 (from £61.05)
- 25 or over: £84.80 (from £77.00)
Maternity/Paternity/Shared Parental Allowance
- Standard rate: £172.48 (from £156.66)
Pension Credit
- Single: £201.05 (from £182.60)
- Couple: £306.85 (from £278.70)
Personal Independence Payment (PIP) / Adult Disability payment
Daily Living Component
- Enhanced: £101.75 (from £92.40)
- Standard: £68.10 (from £61.85)
Mobility Component
- Enhanced: £71.00 (from £64.50)
- Standard: £26.90 (from £24.45)
State Pension
- Full New State Pension: £203.85 (from £185.15)
- Basic Old State Pension (Category A or B): £156.20 (from £141.85)
Widow’s Pension
- Standard rate: £139.10 (from £126.35)
Universal Credit (Monthly rates shown)
Standard allowance
- Single under 25: £292.11 (from £265.31)
- Single 25 or over: £368.74 (from £334.91)
Couple
- Joint claimants both under 25: £458.51 (from £416.45)
- Joint claimants, one or both 25 or over: £578.82 (from £525.72)
You can read the full guide to changes in payments from April 2023 on GOV.UK here.
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