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Millions on Universal Credit to get pay rise next year – are you one of them?

MILLLIONS on Universal Credit are set to get a pay rise next year as the benefit goes up in line with inflation.

The pay boost will come as good news as the cost of food, petrol and energy soars across the UK.

Universal Credit is rising by 10.1% next April

A number of benefits have to rise in line with the consumer price index (CPI) level of inflation taken the previous September.

But there are some which don’t, including Universal Credit.

However, in November, Jeremy Hunt confirmed in his Autumn Statement that the benefit would rise from next April in line with inflation this September – 10.1%.

That means millions will see their Universal Credit allowance go up.

But the increases will vary depending on what your typical payment is.

How much will my Universal Credit go up?

Here’s how much more you will get next year every month in Universal Credit payments.

Universal Credit

Standard allowance (per month)

  • For those single and aged under 25, the standard allowance will rise from £265.31 to £292.11 
  • For those single and aged 25 or over, the standard allowance will rise from £334.91 to £368.74
  • For joint claimants both under 25, the standard allowance will rise from £416.45 to £458.51
  • For joint claimants where one or both are 25 or over, the standard allowance will rise from £525.72 to £578.77

Extra amounts for children

  • For those with a first child born before April 6, 2017, the extra amount is going up from £290 to £319.29
  • For those with a child born on or after April 6, 2017 or second child and subsequent child, the extra amount is going up from £244.58 to £269.28
  • For those with a disabled child, the lower rate addition payment is going up from £132.89 to £146.31 and the higher rate from £414.88 to £456.78

Extra amounts for limited capability for work

  • For those deemed to have limited capability for work, the extra amount is going up from £132.89 to £146.31 
  • For those deemed to have limited capability for work or work-related activity, the extra amount is going up from £354.28 to £390.06

Extra amounts for being a carer

Universal Credit claimants can get an additional amount if they’re caring for a severely disabled person for at least 35 hours a week.

The amount you get a month will rise from £168.81 to £185.86.

Increased work allowance

The higher work allowance (no housing amount) for someone claiming Universal Credit with one or more dependent children or limited capability for work is going up from £573 to £631

The lower work allowance for someone claiming Universal Credit with one or more dependent children or limited capability for work is going up from £344 to £379

How do I claim Universal Credit?

If you’re not receiving Universal Credit and think you might be eligible, you should of course check if you qualify first.

You’ll have to be on a low income or need help with living costs. This doesn’t necessarily mean you have to be out of work though.

For example, you could be:

  • out of work
  • working (including self-employed or part-time)
  • unable to work, for example if you have a health condition

You must also meet other criteria. You must:

  • live in the UK
  • be aged 18 or over
  • be under State Pension age
  • have £16,000 or less in money, savings and investments

You can also get Universal Credit if you’re 16 or 17 if you meet certain criteria, including having a health condition or disability, or if you’re responsible for a child.

The full list is included on the government’s website.

If you are eligible, you then have to make a claim – you can do this online or call the Universal Credit helpline if you don’t have access to the internet.

The number to call is 0800 328 5644.

You’ll need a number of documents to hand too – for the full list, you can read our explainer.

In other news, we explain how much you can have in savings before claiming Universal Credit.

Plus, million on disability benefits are set to get a pay rise from next April.

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