Universal Credit and benefit payments set to rise in 2023 – how much more you could get explained
MILLIONS of households receiving Universal Credit are set to get a pay rise next year.
Universal Credit payments generally increase every April and the rise is known as the annual uprating.
Individuals receiving child benefit, state pension, housing benefit and personal independence payment will also see a rise in their payments.
This is so that payments can keep with the cost of things like food, clothes and fuel which rise over time, called inflation.
Inflation is what goods and services are worth in a country.
The UK’s rate of inflation dropped slightly to 9.9% in August from 10.1% due to a fall in petrol prices, new figures reveal.
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However, data from the Office for National Statistics (ONS) reveals that inflation is still close to a 40-year high.
The soaring rate reflects the current cost of living crisis, with millions of people struggling with rising energy bills, petrol prices and grocery costs.
The latest figures show a 0.2% drop in inflation compared to July, when it hit 10.1%.
The Department for Work and Pensions (DWP) usually uses September's inflation figures to make the decision on benefit uprating.
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September's rate of inflation will come out in early October and it's expected that the DWP will confirm how benefits will be uprated in November.
If inflation remains at 9.9%% in September, benefit payments could rise by that in April 2023.
For example, this year benefits were uprated by 3.1% based on inflation in September last year.
The uprating is there to ensure that payments can keep up with the cost of living like food, clothes and fuel, which rise over time - this is called inflation.
Will Universal Credit and other benefits rise in 2023?
The current standard allowance for single claimants over the age of 25 is £334.91 a month.
If inflation was to remain at 9.9%, payments would increase by £33.16 a month to £368.07.
But inflation could still come in at more or less than this in September, or the government could decide to increase benefit rates by a different amount.
The exact amount more you get will also depend on exactly how much your benefit payments are each month, as there are also extra amounts if you have children or caring responsibilities.
I'm struggling with my bills - what can I do?
There are a number of charities and organisations that may be able to help you piece your finances back together.
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You can get in touch with these organisations as they may be able to help you get your finances back on track:
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- - 0800 138 7777
- - 0808 800 9060
- - 0800 138 1111
- - 0808 808 4000
Don't forget to check that you're getting all the benefits you're entitled to by using a free benefits checker, as this could boost your budget more.