Full list of major changes to Universal Credit and benefits in 2025 including pay rise

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Full list of major changes to Universal Credit and benefits in 2025 including pay rise
Author: Laura McGuire
Published: Dec, 30 2024 08:22

HOUSEHOLDS claiming Universal Credit and other benefits should be aware of the following changes. The government has plans to shake up the benefit system in 2025 - including a pay rise for claimants and more free childcare. That's why it is worth making note of the following changes that are set to take place from the new year so you are not blindsided.

 [We round up all the major changes to Universal Credit]
Image Credit: The Sun [We round up all the major changes to Universal Credit]

Below we round up all the major changes to Universal Credit and benefits. The Household Support Fund will end on March 31 2025, after being extended multiple times. Through the fund, vulnerable households can claim support to help with the cost of living.

The funding is supplied from a £421million pot by the Department for Work and Pensions. It was first introduced in October 2021 and has been extended five times. Councils get a portion of the cash based on their population, size, catchment area, and need, which they allocate to vulnerable households.

It is worth checking in with your local council to see if you can claim any extra help before the scheme closes. Tax credits will end on April 5 2025 and be replaced with Universal Credit. This is because legacy benefits – such as Tax Credits, Housing Benefit, Income Support, Jobseeker’s Allowance and Income-Related Employment and Support Allowance – are all being phased out.

As part of this move, claimants of tax credits will be moved to Universal Credit by the end of April 2025. Anyone moving from tax credits to Universal Credit can find help in a number of ways. You can visit your local Jobcentre by searching at find-your-nearest-jobcentre.dwp.gov.uk/.

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