DWP makes major change to benefit Universal Credit claimants from April 2025
DWP makes major change to benefit Universal Credit claimants from April 2025
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Adjustments made by the Department for Work and Pensions to childcare benefits will help those with disabilities and the most vulnerable in a matter of weeks. Families with children are to be given more financial help this spring as changes to Universal Credit payments are brought into force. The Department for Work and Pensions (DWP) is making adjustments to benefits that include modified childcare and support rates for children with disabilities. The changes will be effective from April 2025 and are part of the government’s commitment to ensure benefit payments align with inflation - essential for vulnerable households during the cost of living crisis.
The increase - the first in over a year - will introduce a 1.7% rise to the child-related components of Universal Credit. There will be higher monthly allowances for families with children born before or after April 2017. This means that payments for a first or only child born before April 6 2017 will increase from £333.33 to £339 per month. Additional children or those born after April 6, 2017, will see payments rise from £287.92 to £292.81.
Families with disabled children will see slightly higher financial increases. The higher disability rate for children receiving enhanced care under Disability Living Allowance (DLA) or Personal Independence Payment (PIP), will increase from £487.58 to £495.87 monthly . The lower rate for disabled children will also rise, from £156.11 to £158.76 per month .
In addition the DWP has increased childcare-related support under Universal Credit to attempt to ease the financial strain on working parents as the cost of childcare remains high. Families with one child can now claim 85% of childcare costs . For households with two or more children support will also rise.