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Universal Credit helps millions of Britons with their living costs each year, bringing together the various benefits into one payment. You may be able to get Universal Credit if you are on a low income, out of work or you cannot work.
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Universal Credit replaces the following benefits:
- Child Tax Credit
- Housing Benefit
- Income Support
- income-based Jobseeker’s Allowance (JSA)
- income-related Employment and Support Allowance (ESA)
- Working Tax Credit
The payments can increase, and already there has been two boosts earlier this year.
Read More: Universal Credit: What is Help to Save? Who is eligible?
Universal Credit boost: When will Universal Credit go up? (Image: GETTY)
The first increase to Universal Credit happened on April 1 as the benefit freeze ended.
This saw a 1.7 percent rise to several social security payouts, including Universal Credit.
On top of this, the Government enables another increase in April in order to help people during the coronavirus crisis.
This top-up will be in place for a year and saw Universal Credit boosted by around £1,000 a year or £80 a month.
Universal Credit boost: Universal Credit Explained (Image: EXPRESS)
The DWP said: "From 6 April the government is increasing the standard allowance in Universal Credit and the basic element in Working Tax Credit for one year.
"Both will increase by £20 per week on top of planned annual uprating.
"This will apply to all new and existing Universal Credit claimants and to existing Working Tax Credit claimants."
Now a further increase is due in October, but only for a certain number of claimants.
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From October 8, a boost to Universal Credit is due in order to close the gap between the old benefits system and Universal Credit.
Those who receive Universal Credit will receive different amounts depending on the basis for their payments.
Claimants could get £120, £285 or £405 with their next Universal Credit payment if they qualify.
Thousands of Britons found themselves on less when switched to Universal Credit.
Universal Credit boost: Those who receive Universal Credit will receive different amounts depending on the basis for their payments (Image: EXPRESS)
This affected people who need Income Support, Jobseeker's Allowance (JSA), Employment and Support Allowance (ESA), Housing Benefit or Pension Credit.
These claimants were affected if they were also receiving a top-up allowance called Severe Disability Premium (SDP).
Justin Tomlinson, minister of state at the DWP, confirmed the payment change to MPs last week.
He said: "On July 22, 2019, we laid legislation to provide additional financial support for former SDP recipients who had moved to Universal Credit on account of a change of circumstances.
Universal Credit boost: What is Child Benefit? (Image: EXPRESS)
"The UC (Managed Migration Pilot and Miscellaneous Amendments) Regulations 2019 provide for the conversion of these transitional payments into transitional elements.
"This means that payments will be made through the UC system rather than manually, and all transitional protection will be subject to the same rules.
"I will be signing a determination setting the conversion day to 8 October 2020.
"This is when the UC system will have capacity to convert SDP transitional payments to transitional element."
Who will get the boost?
Those eligible and the amounts are
£120 a month where the Universal Credit claimant has been confirmed as having limited capability for work and already receives an additional amount in their UC award because of their health condition.
£120 a month for joint claimants who were receiving the lowest couple rate SDP and are receiving the limited capability for work-related activity (LCWRA) part of Universal Credit
£285 a month for claimants not in the Universal Credit limited capability for work-related activity (LCWRA) group (roughly the equivalent of the lower rate SDP at £65.85 a week)
£285 a month for joint claimants who were being paid the lower couple rate SDP and are not receiving the LCWRA component in Universal Credit
£405 a month for joint claimants who were getting the higher couple rate SDP in their existing benefits