The Department for Work and Pensions (DWP) is making a big change that will help lots of folks who rely on Universal Credit. Starting next month, millions of people getting Universal Credit will get more money from the DWP.
Chancellor Jeremy Hunt shared this news during last fall’s money talk. He said Universal Credit and other benefits will go up by 6.7%, matching the inflation from September. This change kicks in on April 8th, giving an extra £470 on average to 5.5 million households. It shows the government is serious about helping folks who might be struggling during uncertain times.
| Benefit | Amount Increase |
|---|---|
| Universal Credit | A 6.7% increase in line with September’s inflation benefits 5.5 million households by providing an extra £470 on average. |
| State Pension | Pensioners will receive an increase of up to £900 starting on April 8 following the triple lock mechanism. |
| National Living Wage | raise from £10.42 to £11.44 per hour, benefiting 2.7 million workers and expanding eligibility to 21 years old. |
UK Govt. Approved £900 Raise for Pensioners
Pensioners are getting some good news too, with their state pension set to go up by as much as £900 next month. This comes after Chancellor Hunt stuck to the triple lock rule he announced last fall. That means UK state pensions will go up by 8.5% starting April 8, 2024.
The triple lock rule adjusts pensions based on things like how much money people earn, inflation, or a 2.5% increase (whichever is the most). It’s meant to help older folks avoid being poor. Since it started in 2011, the triple lock has done a lot to lower poverty among seniors.
When will the new DWP pension payment rates start?
Starting from the first working week after April 8, 2024, the State Pension and other benefits from DWP or HMRC will go up. But folks won’t see the full increase until May or June payments, because it takes a clear four weeks for payments to catch up. So, before that, pensioners will get a mix of old and new payment rates.
The government has figured out that the current State Pension payments, Pension Credit, and Widow’s/Widower’s Pension within Industrial Death Benefit will all go up by the same percentage.
- New State Pension full weekly rate: £221.20 (from £203.85)
- Monthly: £884.80
- Yearly: £11,502 (up £902)
| Category | Basic Pension | Monthly Equivalent | Yearly Equivalent |
|---|---|---|---|
| Category A or B | £169.50 (from £156.20) | £678.00 | £8,814 (up £692) |
| Category B (lower) | £101.55 (from £93.60) | N/A | N/A |
| Category C or D | £101.55 (from £93.60) | N/A | N/A |
| Maximum additional pension | £218.39 (from £204.68) | N/A | N/A |
| Increase of long-term incapacity for age | N/A | N/A | N/A |
Age-related increase in long-term incapacity:
| Rate | Amount | Change |
|---|---|---|
| Higher rate | £28.40 (from £26.60) | Up £1.80 |
| Lower rate | £14.20 (from £13.30) | Up £0.90 |
Transitional Rate for State Pension Beneficiaries:
| Rate | Amount | Change |
|---|---|---|
| Higher rate | £28.40 (from £26.60) | Up £1.80 |
| Middle rate | £18.20 (from £17.10) | Up £1.10 |
| Lower rate | £9.10 (from £8.55) | Up £0.55 |
Millions of Workers get benefits with a National Living Wage Increment
The boost in financial help doesn’t stop with Universal Credit and pensioners. In April 2024, lots of workers will get a big pay raise too. The National Living Wage will go up from £10.42 to £11.44 an hour. And for the first time, 21-year-olds will qualify too.
“Employment is up on the year, numbers of people on payrolls is at a record high, and inactivity is falling” – Work and Pensions Secretary @MelJStride
The tax cuts announced in #Budget2024 will
– Boost the labour force by 200,000
– Put £900 into the pockets of 27m working people pic.twitter.com/317T1Et0M8— Department for Work and Pensions (@DWPgovuk) March 12, 2024
About 2.7 million workers are expected to benefit from this 2024 change to the National Living Wage. Chancellor Hunt sees this increase as a way to get rid of low pay in the country. He pointed out that since 2010, the National Living Wage has cut the number of low-paid workers in half.
The Chancellor cleverly chose April 8th as the start date. This could mean the increase might not show up until May, saving the government a lot of money. – Martin Wilson, 68, from Worcestershire.
These changes show how the UK government is working to help different groups, from folks on Universal Credit to pensioners and the wider working class. It’s all about making society fairer and financially safer for everyone.
Universal credit went it go up April or may 2024
I would serially want someone to explain to me how these increases will seriously help anybody in today’s struggle . If you look at the graphs all it shows me is why percentage pay rises only benefit the higher paid . One percent of nothing is nothing only the better paid gain . Why on earth do you both just give everyone the same increase . The gap between salaries is getting bigger by the year sort it out please it was not like this years back we all got a quid not just the poorer in society
Triple lock ? If the average wage goes up £20 per week yet us over 66 only £18 . Min wage goes up £40 a week we only get £18 how is that better off for us over 66.
Well I would just like to say that I am coming up for 62 years old and I don't know what I am intiitled to and I would like to find out as I carer for my mother so how will tell me can you please