People on Universal Credit benefits handed 6.2% rise 'bigger than state pension'
Reach Daily Express April 18, 2026 02:39 AM

Universal Credit benefit claimants have been given an even larger increase than the state pension Triple Lock this April with a bumper 6.2% increase. The DWP benefit is the most common benefit apart from the state pension, claimed by 7.5M people in the UK including by those in work as a top-up to income. All benefits increase each year in line with inflation, but in 2026 an extra 2.3% uplift on top of inflation has been added this month as per government legislation.

It means the increase to Universal Credit is outstripping the state pension increase, which is 4.8%. At the same time, the two-chil cap on Universal Credit's Child Element have been removed, which could mean even more cash for those claiming the DWP benefit on top of the 6.2% increase.

The changes to the benefit are part of an overhaul which is also seeing the Limited Capability for Work Related Activity payments cut in half, from £432 per month down to £217, and then frozen, while the standard rate is increased by more than inflation.

It means that the standard allowance for a single person has risen from £400.14 a month to £424.90, or from £628.10 to £666.97 for couples.

Parliament UK explains: "The Universal Credit Act 2025 legislated for changes which will 'rebalance' UC rates from April 2026 by increasing the basic standard allowance that all claimants receive, while reducing the additional payments for most claimants newly found to have disabilities and health conditions that affect their capability for work. The main changes to the UC rates (PDF) are:

"Increasing the Universal Credit standard allowance above inflation over the four financial years from 2026/27. By 2029/30, the UC standard allowance will be 4.8% higher than it would have been under the normal practice of increasing the standard allowance in line with Consumer Prices Index (CPI) inflation over the period.

"Reducing the LCWRA element by approximately half for most claimants newly entitled to it, from £432.27 a month to £217.26 a month, which will then be frozen in each year to 2029/30.

"Creating a 'protected' cohort of existing LCWRA element recipients and new claimants who are terminally ill or have severe, lifelong conditions and are never expected to work."

Social security and disability minister Sir Stephen Timms said: "The welfare system we inherited has for too long locked disabled people and people with long-term conditions out of work.

"Laws coming into force today will change that, reducing projected expenditure on universal credit by almost £1 billion.

"Simultaneously boosting the standard allowance and investing £3.5 billion in employment support means we're creating a welfare system that backs people to work and helps them build a better future."

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