From April, benefit support including Universal Credit and PIP is set to rise by 1.7%. The annual adjustment of most welfare payments is based on the inflation rate from the previous September, which was confirmed at 1.7%.
Due to the triple lock promise, the State Pension will also see a 4.1% increase. This guarantees that each April, the State Pension rises by the highest of three figures: the previous September’s inflation rate, wage growth (average between May and July), or 2.5%, according to the Mirror.
Here’s an overview of how some of the most common benefits will alter this spring. It’s crucial to remember that Universal Credit is replacing six older legacy benefits – including Working Tax Credit, Child Tax Credit, Income Support, Income-based Jobseeker’s Allowance, Income-related Employment and Support Allowance and Housing Benefit.
Universal Credit
More than six million people in the UK claim Universal Credit. Here’s a projection of how much the Universal Credit standard allowance – the basic amount before any deductions or additional payments – is likely to increase.
- For single claimants aged 25 or over, it will rise from £393.45 a month to £400.14 a month.
- For joint claimants both under 25, it will increase from £489.23 a month to £497.55 a month.
- For joint claimants, where one or both are 25 or over, it will go up from £617.60 a month to £628.10 a month.
- For single claimants under 25, it will go from £311.68 a month to £316.98 a month.
Specific people may be eligible for bonus payments on top of their standard allowance. For instance, you might receive extra funds if you have children or a long-term illness.
Carer aspect
- Higher work allowance (no housing amount): £ 673 a month to £684 a month
- Lower work allowance (with housing amount): £404 a month to £411 a month
- £198.31 a month to £201.68 a month
Child aspect
- First child born before April 6, 2017: £333.33 a month to £339 a month
- First child born on or after April 6, 2017, or second child and subsequent child: £287.92 a month to £292.81 a month
- Disabled child element lower rate: £156.11 a month to £158.76 a month
- Disabled child higher rate: £487.58 a month to £495.87 a month
- Limited capability for work: £156.11 a month to £158.76 a month
- Limited capability for work or work-related activity: £416.19 a month to £423.27 a month
Disability Living Allowance
Disability Living Allowance (DLA) is gradually being replaced by Personal Independence Payment (PIP) for disabled people, with DLA applications only open to those under 16 living in England or Wales.
The rates for DLA care and mobility components will increase as follows:
- The middle rate from £72.65 a week to £73.90 a week
- The lowest rate from £28.70 a week to £29.20 a week
- The highest rate: £108.55 a week to £110.40 a week
DLA mobility component rates will increase as follows:
- The higher rate: £75.75 a week to £77.05 a week
- The lower rate: £28.70 a week to £29.20 a week
Attendance Allowance and Carer’s Allowance
Attendance Allowance is a benefit for those over the State Pension age who require additional support for daily personal care due to an illness or disability. Meanwhile, the Carer’s Allowance is provided to individuals who dedicate at least 35 hours a week to caring for someone, regardless of whether they are related to or live with the person they are caring for.
Child Benefit
Child Benefit is a monthly payment made available to parents or anyone responsible for a child’s care.
- First or eldest child: £ 25.60 a week to £26.05 a week
- Any additional child: £ 16.95 a week to £17.25 a week
Pension Credit
Pension Credit supplements your income if you’re above State Pension age and can also provide access to other benefits such as council tax discounts and free TV licences for over-75s.
Standard minimum guarantee
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Couple: £332.95 a week to £346.60 a week
- Single: £218.15 a week to £227.10 a week
Further support is available if you’re a carer, disabled, looking after children, or if you have savings and reached State Pension age before April 2016.
State Pension
As for the State Pension, if you’re a man born on or after April 6, 1951, or a woman born on or after April 6, 1953, you can claim the new State Pension. However, if you’re a man born before this date, or a woman born before April 6, 1953, you can claim the basic State Pension.
Please bear in mind that the full amounts listed above may not be what you receive, as it all hinges on your National Insurance record.
Personal Independence Payment (PIP)
The Personal Independence Payment, or PIP as it’s commonly known, is a benefit designed to help working-age adults who are living with an illness, disability or mental health condition. It’s made up of two parts – a daily living rate and a mobility rate – and you could be eligible for one or both of these.
Mobility
- Lower rate: Weekly payments range from £28.70 to £29.20.
- Higher rate: Weekly payments range from £75.75 to £77.05.
Daily living
- Lower rate: Weekly payments range from £72.65 to £73.90.
- Higher rate: Weekly payments range from £108.55 to £110.40.