Last year the Chancellor confirmed that Universal Credit and other benefits including Personal Independence Payment (PIP) and Carer’s Allowance would increase by 6.7% from April 8
Universal Credit is set to rise from next week, however not everyone will see their payments go up straight away.
Universal Credit and other benefits including Personal Independence Payment (PIP) and Carer’s Allowance are set to increase by 6.7% from April 8. The state pension will rise by a bigger 8.5% from the same date, because the increase is dictated by the triple lock, which sees the state pension rise by whichever is biggest out of inflation, wage growth or 2.5%.
It’s important to note that Housing Benefit and Council Tax Support increases came into effect slightly earlier, on April 1, while Tax Credit increases will come into force at the start of the new tax year, on April 6. Now when it comes to Universal Credit, the increased rates will not come into effect for claimants until the month after in May whilst for others it is June.
This is due to the assessment period for the benefit. Universal Credit is calculated based on your circumstances each month and these are called your “assessment periods” – if your circumstances change within the assessment period then the amount of Universal Credit you get that month could also change. Halide Kalfaoglu, benefits expert at the charity Turn2us, explained: “The new increased rate will not be paid until a new Universal Credit assessment period begins on or after April 8.”
Turn2us explained that those whose assessment periods started before the April 8 rise will see the benefits rise in May however, those whose assessment period started after won’t see it until June. For example, if your assessment period started on March 26. It runs for a complete calendar month to 25 April, with a new assessment period beginning on 26 April. Universal Credit payments are paid a week after the last date of each assessment period, so you will receive your payment on 2 May.
But as this assessment period started before April 8, the new rates will not take effect and you will have to wait until your next assessment period (April 26 to May 25) to get the new rate on June 1. If your assessment period starts after April 8, for example on April 12., it runs for a complete calendar month to May 11, with a new assessment period beginning on May 12.
Again, as Universal Credit payments are paid a week after the last date of each assessment period, you will receive your payment on May 18. As your assessment period started after April 8, the new rates will take effect and you will receive an increased Universal Credit payment on May 18. You do not need to do anything to get the increase as the DWP will automatically increase it.
