DWP benefits and pensions increase starting in April

In April, several changes to benefits and pensions from the Department for Work and Pensions (DWP) will take effect. Social security benefits will increase by 1.7%. This change affects Universal Credit claimants and includes adjustments to Carer’s Allowance and repayment rules. Universal Credit debt repayments may benefit around 1.2 million claimants, improving their financial situation by £420 annually. The DWP will also close the Tax Credit service and update other rules, including the new Pension Age Disability Payment in Scotland. Benefits set to increase include State Pension, Universal Credit, and Child Benefits. The increases align with inflation rates, calculated as 1.7% from the previous September. For State Pension, it will rise by 4.1% this year, based on average earnings. The standard allowance for Universal Credit will see increases as follows: Single claimants under 25 will go from £311.68 to £316.98. For those 25 or older, it rises from £393.45 to £400.14. Joint claims will also increase, with specific amounts depending on age and situations like children or disabilities. Carer’s Allowance will increase from £81.90 to £83.30 per week. Pension Credit rates will rise as well. The standard minimum guarantee for singles will increase from £218.15 to £227.10 weekly. Disability Living Allowance (DLA) rates are also going up. The highest care component rate will increase from £108.55 to £110.40 a week. Attendance Allowance benefits for older people needing personal care will see similar rises. These changes will help those receiving benefits to better cope with financial challenges as costs of living rise.