Big Changes to Universal Credit Payments Imminent: Are You Affected?

• Universal Credit rates increased by 6.7% on April 8, matching the September 2023 CPI inflation.
• Claimants will start receiving the new, higher payments from May 14, depending on their assessment period.
• The increase affects various allowances and extras, including those for children, disabled individuals, and carers.

Millions Set to Benefit from Universal Credit Payment Increase

Millions of households on Universal Credit will soon experience a significant change in their payment amounts. Starting from May 14, claimants will receive increased payments, reflecting a 6.7% rate hike set earlier in April, aimed at aligning with the consumer price index (CPI) inflation rate from September 2023.

This adjustment was necessary to help claimants cope with the increased cost of living, and though the rates were officially increased on April 8, the nature of payment cycles means most will only see the change this month. Specifically, the timing of the increase depends on each individual’s assessment period, which is a one-month cycle starting the day a claim is made. As such, those whose periods began before April 8 will see the changes soon, while others may have to wait until mid-June.

James Flanders at the "Latest Business, Retail & Property News" reported that this structure is designed to ensure all beneficiaries of Universal Credit receive their payments tailored to their specific needs and conditions, which vary by individual circumstances.

The new benefit rates for the fiscal year 2024-2025 include increases across various categories:

- Standard allowances for singles and couples have increased, with singles aged 25 and over now receiving £393.45 per month.

- Additional rates for children and individuals with disabilities have also risen, providing further support to families and those in need.

Moreover, the update includes enhanced provisions for claimants who act as carers, with monthly payments rising to £198.31 for those caring for a severely disabled person for over 35 hours a week. This adjustment reflects the ongoing commitment to support those who provide essential care to the most vulnerable members of society.

Tom Church, Co-Founder of LatestDeals.co.uk, commented, "This timely update to Universal Credit payments is a much-needed relief for millions, directly addressing the rising cost of living and providing increased support where it's most needed."