Universal Credit Rates Change April 2021 – How To Check How Much You Can Get | Personal Finances | Finance
April is when annual increases in Department of Work and Pensions (DWP) payments go into effect – from state pension to inherited benefits. In April, universal credit is expected to increase by 0.5%, in line with the consumer price index (CPI).
“To strengthen the safety net, I am increasing the standard universal credit allowance, for the next 12 months, today by Â£ 1,000 per year,” he said.
“For the next twelve months, I am also increasing the basic element of the labor tax credit by the same amount.”
The increase comes to around an additional Â£ 20 per week, or Â£ 80 per month.
However, this temporary boost is currently expected to end from April 2021.
It is believed the Chancellor could address the issue of the increase on Wednesday, when he makes his spring budget statement in the House of Commons.
Myron Jobson, Personal Finance Campaigner at Interactive Investor, commented: âThe impact of the pandemic on household finances has been widely documented, and there are fears that the country’s most vulnerable are plunging into the cliff. financial when the Â£ 20 per week increases in The Universal Credit (UC) and Work Tax Credit, introduced to support families during the coronavirus pandemic, end in April.
âThe Work and Pensions Committee recently called for a one-year extension of the ‘at least’ increase.
âHe notes since March that the number of people claiming UC has doubled to around six million, while job vacancies remain well below pre-pandemic levels.
“It is difficult to envision a significant change in their financial situation to justify the loss of the coronavirus refills in May.”
A government spokesperson said: “We are committed to supporting the lowest paid families and those who need it most during the pandemic, which is why we are spending hundreds of billions to save jobs, increase welfare by billions and have introduced the Covid Winter Grant Scheme to help children and families stay warm and well nourished during the colder months.
Standard Universal Credit Allowance
Currently, the standard monthly allowance is:
- Single and under 25 – Â£ 342.72
- Single and 25+ – Â£ 409.89
- As a couple and both are under 25 – Â£ 488.59 (for both)
- In couple and each person is 25 or over – Â£ 594.04 (for both).
Universal Credit Rate 2021 to 2022
With the hike set to end from April 2021, the DWP released details of what the rates would be, including the 0.5% increase, and without the 2020 to 2021 hike.
- Single under 25 – Â£ 257.33
- Single 25+ – Â£ 324.84
- Joint applicants under 25 – Â£ 403.93
- Joint applicants, one or both 25 years or older – Â£ 509.91.