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.”
