Universal Credit claimants warned DWP will not raise payments until June

Universal Credit recipients have been cautioned that they might not see an increase in their payments until as late as June. This is despite the Department for Work and Pensions (DWP) confirming that benefits, including Universal Credit, will see a 6.7 per cent rise starting from April 8.

However, due to the way Universal Credit is calculated, taking into account an individual's monthly "assessment period" which considers factors like income and savings, the hike won't be applied until the commencement of a new assessment period on or after April 8. Consequently, most claimants will not experience any uplift in their payments until May or June.

On BBC Radio 4's Money Box, programme researcher Sandra Hardial highlighted the delay in receiving the increased funds. She explained: "The six million people on Universal Credit face the longest wait. The DWP has told Money Box that none of them will get the higher rate before the 14th of May and some will have to wait until the 13th of June," reports the Mirror.

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Universal Credit comprises a "standard allowance", determined by the claimant's age and whether they are applying individually or as part of a couple. Additional amounts may also be awarded for specific circumstances such as childcare responsibilities or inability to work due to health conditions.

To determine your total payment, any additional amounts you may be eligible for are calculated next, before taking off any deductions. Deductions may be applied if you're employed, have savings, or owe money to the DWP.

Here is a breakdown of the current Universal Credit "standard allowance":