Universal credit and other benefits to rise from today

Former_MSE_Sophie

Millions will see benefit payments, such as universal credit and child benefit, rise from today under an uplift for the new financial year.

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Universal credit and other benefits to rise from today 

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calcotti

But the Joseph Rowntree Foundation calculates they are now at a 35 year low in terms of what they can buy.
https://www.jrf.org.uk/press/main-out-work-benefit-sees-its-biggest-drop-value-fifty-years

NedS

For assessment periods that start from today (11th April), so most won't see the increase until the payment after next.

calcotti

NedS said:

For assessment periods that start from today (11th April), so most won't see the increase until the payment after next.

Good point. Earliest UC payment date at new rates is 17th May.

Mrsn

NedS said:

For assessment periods that start from today (11th April), so most won't see the increase until the payment after next.

I was caught out by this today as didn’t realise it wouldn’t come into affect for my payment due on the 17th. Thankfully will manage without it for this month but I’m sure there are others desperately waiting for the increase that might not have known this.

calcotti

It is a puzzle, given that UC entitlement is based on claimant circumstances at the end of the AP, why increases are only applied based on the start date of the AP. It's the way UC regs were written (I suspect Treasury penny pinching). 

poppy12345

NedS said:

For assessment periods that start from today (11th April), so most won't see the increase until the payment after next.

Thanks. I didn't actually realise this, although i don't claim UC myself, my daughter does.

calcotti said:

It is a puzzle, given that UC entitlement is based on claimant circumstances at the end of the AP,

Indeed, which is why i thought my daughter would have received the increase in her next payment on 24th April.

calcotti

The principle is the same as for legacy benefits for which the uplift is applied from the first day of the first benefit week starting on or after 11th April. However because UC is calculated monthly it means they end up waiting longer. There is also much more variation in when claimants get the uplift depending on the date on which they first claimed UC.

NedS

calcotti said:

It is a puzzle, given that UC entitlement is based on claimant circumstances at the end of the AP, why increases are only applied based on the start date of the AP. It's the way UC regs were written (I suspect Treasury penny pinching). 

The only way I can rationalise it is that UC is paid a month in arrears, so if the uplift was paid to people now (in mid April), that would be for a period before the uplift back in March.

Implementing from the first Monday of the new tax year (11th this year) does seem a little irrational for a monthly benefit - from the 6th April would make more sense to me, but again I guess that's a hangover from the underlying weekly nature of the old legacy systems even though UC is monthly.

Some unlucky people won't get the increase applied until their payment on 16th June!

calcotti

NedS said: Some unlucky people won't get the increase applied until their payment on 16th June!

That's quite a thought. I don't expect any DWP official statements will mention that!

Jack_bauer24

Wow, don't all spend it at once. It only goes up about £10 or a few extra quid. They should have bring back the £20.00 a week back even though yeah it was for the COVID period pandemic, it should be be bring back due to this living crisis, that was a lot of help for everyone, what's £10 more going to do??