An estimated 19.2 million families and 39.8 million individuals across Great Britain 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 per cent this week. However, due to payments made in arrears most people will not see a difference until May.
State Pension, disability and most working age benefits will be uprated by 10.1 per cent from April 10 in line with the rate of inflation in September, at a cost of £11 billion to the UK Government.
The uprating means that on average, a family on Universal Credit will benefit by around £600 this year. The benefit cap will also rise in line with inflation, this will see it increase 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.
£301 cost of living payment
The DWP recently confirmed that the payment window for the first part of the £900 means-tested cost of living support will open in a few weeks. More than eight million households across Great Britain, including 686,000 in Scotland, will receive £301 directly into their bank account from the DWP between Tuesday, April 25 and Wednesday, May 17.
The £301 payment will be sent out automatically to the account used by claimants for their qualifying benefit, which means nobody needs to apply for the financial support - if you receive a text, email or phone call asking you to make a claim for any cost of living payment, it is a scam. Payments will appear on accounts as ‘DWP COLP’, along with the claimant’s National Insurance number.
To be eligible for the £301 cost of living payment, you need to have been entitled to a payment for one of the qualifying benefits listed below between January 26, 2023 and February 25, 2023, or payment for an assessment period ending between these dates.
Universal Credit payment rates from April 10, 2023
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 changes to Universal Credit payments including additional elements.
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)
Child amounts
- First child (born prior to 6 April 2017): £315.00 (from £290.00)
- First child (born on or after 6 April 2017)/ second child and subsequent child (where an exception or transitional provision applies): £269.58 (from £244.58)
Disabled child additions
- Lower rate addition: £146.31 (from £132.89)
- Higher rate addition:£456.89 (from £414.88)
Limited Capability for Work
- Limited Capability for Work amount: £146.31 (from 132.89)
- Limited Capability for Work and Work-Related Activity amount: £390.06 (from £354.28)
Carer amount
- Carer amount: £185.86 (from £168.81)
Childcare costs amount
It is being widely reported that Chancellor Jeremy Hunt is set to increase childcare amounts by 50 per cent in Wednesday's Budget. It has also been said this will be paid upfront to help more parents into work.
We will update this article if these new measures are announced.
- 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 (from £77.87)
Work allowances
- Higher work allowance (no housing amount) one or more dependent children or limited capability for work: £631.00 (from £573.00)
- Lower work allowance one or more dependent children or limited capability for work: £379.00 (from £344.00)
You can find out about the new deduction rates for Universal Credit on the GOV.UK website here.
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