As of May 13, 2025, thousands of families across the UK have begun receiving increased Universal Credit payments. This uplift, announced by the Department for Work and Pensions (DWP), is part of the annual benefits uprating aligned with the Consumer Prices Index (CPI) inflation rate. While the changes officially took effect from April 6, 2025, the nature of Universal Credit’s monthly assessment periods means that many claimants are only now seeing the enhanced amounts reflected in their payments.
Understanding the Timing of the Increase
Universal Credit is calculated based on monthly assessment periods, with payments made in arrears. Therefore, the date your assessment period starts determines when you see changes in your payment.
- Assessment Periods Starting Before April 7, 2025: Claimants whose assessment periods began before this date will see the increased payment in May.
- Assessment Periods Starting On or After April 7, 2025: Those whose assessment periods commenced on or after this date will receive the updated payment in June.
This staggered implementation ensures that all claimants receive the correct amount based on their individual assessment periods.
Breakdown of the New Universal Credit Rates for 2025/26
The DWP has outlined the following increases for the 2025/26 financial year:
Standard Allowance (Monthly)
- Single claimant under 25: £316.98 (up from £311.68)
- Single claimant 25 or over: £400.14 (up from £393.45)
- Joint claimants both under 25: £497.55 (up from £489.23)
- Joint claimants, one or both 25 or over: £628.10 (up from £617.60)
Child Elements
- First child (born before April 6, 2017): £339.00 (up from £333.33)
- Child born after April 6, 2017 or subsequent children: £292.81 (up from £287.92)
Disabled Child Additions
- Lower rate: £158.76 (up from £156.11)
- Higher rate: £495.87 (up from £487.58)
Limited Capability for Work
- Limited capability: £158.76 (up from £156.11)
- Work-related activity: £423.27 (up from £416.19)
Carer’s Element
- Caring for a severely disabled person at least 35 hours a week: £201.68 (up from £198.31)
Work Allowance Increases
- Higher work allowance (no housing): £684 (up from £673)
- Lower work allowance (with housing): £411 (up from £404)
These adjustments aim to provide additional support to families and individuals, especially as the cost of living continues to rise.
Eligibility Criteria for Universal Credit
Universal Credit is designed to assist individuals and families with low income or those out of work. To be eligible, you must:
- Be on a low income or out of work
- Be 18 or over (some exceptions apply for 16-17-year-olds)
- Be under State Pension age
- Have £16,000 or less in savings between you and your partner
- Live in the UK
Additional considerations apply for students, individuals with disabilities, and those caring for someone with a disability.
How to Apply for Universal Credit
Applications for Universal Credit can be made online through the official government website. You’ll need to provide identification, bank account details, and information about your income and housing.
If you lack internet access, you can apply by calling the Universal Credit helpline at 0800 328 5644.
Conclusion
The recent increase in Universal Credit payments reflects the government’s commitment to supporting low-income families and individuals amid ongoing economic challenges. By understanding the new rates and eligibility criteria, claimants can ensure they receive the support they’re entitled to. For further assistance, consider reaching out to local advice centers or utilizing the online resources mentioned above.
