DWP making three major changes to Universal Credit - how it affects your benefits
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The Department for Work and Pensions (DWP) is making several key changes to Universal Credit this year that will affect millions of people. The biggest change that will directly impact your payments, is the Universal Credit standard allowance will rise from this April. The standard allowance is the basic amount you get before any additional elements - for example, if you have children or are unable to work due to illness - or any deductions are taken into account. It is based on your age and if you live with someone.
If you are in receipt of additional elements, then these will also go up from April. DWP benefit claimants will also find the limit for how much can be taken off your Universal Credit for debt deductions is also falling from April 2025. Meanwhile, more people will be moved to Universal Credit as the process to close older legacy benefits continues into 2025.
Benefit payments normally rise every April in line with the previous September rate of inflation - and this includes Universal Credit. It has been confirmed that benefits will increase by 1.7% from April 2025. But as Universal Credit is paid monthly in arrears based on your "assessment period", you may not see your increase filter through until as late as June 2025. Here is how much extra you'll get:.
Standard allowance. Single under 25: £311.68 a month to £316.98 a month. Single 25 or over: £393.45 a month to £400.14 a month. Joint claimants both under 25: £489.23 a month to £497.55 a month. Joint claimants, one or both 25 or over: £617.60 a month to £628.10 a month.
