Universal Credit payments will increase from Monday April 11, meaning beneficiaries will have more financial assistance in their bank accounts – but at only half the rate of inflation
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Millions of people receiving government assistance will see their payments increase from today – but only by half the rate of rising inflation.
Universal Credit, child support and the state pension will rise on April 11 to keep up with the rising cost of living.
Benefits typically increase each year to keep up with inflation, and in April, beneficiaries will see a 3.1% increase in payments.
The increase in payments comes as the energy price cap is set to rise by 54% and UK households are finding themselves living on tighter budgets as daily costs continue to rise.
But the rise is still far behind inflation, which just rose to 6.2%.
Energy regulator Ofgem has raised its price cap – which caps how much you can be charged for each unit of electricity and gas used – by a staggering £693 for someone on typical consumption.
Council tax bills have also just increased, averaging 3.5% for someone in a Band D property.
You may also have noticed a spike in your broadband, cellphone, and mortgage payments.
How Much Will Universal Credit Increase?
Universal Credit consists of a standard allowance and any additional amounts that apply to you.
For example, if you have children, a disability or a medical condition.
Your Universal Credit is then subject to deductions based on your savings and, if you work, your earnings.
Department for Works and Pensions (DWP) bosses examine your circumstances each month – known as your assessment period – to see how much you’re owed.
That means your Universal Credit allowance can fluctuate month-to-month if your income changes regularly.
Here is how Universal Credit will change starting April 11th with the monthly rates shown below.
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The Standard Allowance is the base amount of Universal Credit you could receive before any increases or deductions are taken into account.
It depends on your individual circumstances, including your age and whether there are two of you.
Joint applicants under 25: £416.45 (from £403.93)
Joint applicants, one or both aged 25 or over: £525.72 (down from £509.91)
Here are some of the additional items you may be entitled to, which are also increasing:
If you have children
First child (born before 6 April 2017): £290.00 (from £282.60)
First child (born on or after 6 April 2017) or second child and subsequent child (if an exemption or transitional provision applies): £244.58 (from £237.08)
If you have a disability or medical condition
Reduced working capacity or work-related activity: £354.28 (from £343.63)
Limited working capacity and you applied for Health-related Universal Credit or Employment and Support Allowance (ESA) before 3 April 2017: £132.89 (from £128.89)
If you care for a severely disabled person
Some people can make a certain amount of money before their income affects their Universal Credit. This is known as labor compensation.
Work Allowance (no Housing Benefit amount) for people applying for Universal Credit with one or more dependent children or reduced ability to work: £573 (from £557)
Lower Work Allowance for people applying for Universal Credit with one or more dependent children or reduced ability to work: £344 (down from £335)
https://www.mirror.co.uk/money/universal-credit-child-benefit-more-26683001 Universal Credit, child support and more rising today - check your payments