People claiming Universal Credit and Personal Independence Payment (PIP) are set to receive a boost in their payments in just over four months’ time. The UK Government has confirmed that all benefits will rise by 6.7% in line with inflation. This announcement was made by Chancellor Jeremy Hunt during the Autumn Statement on November 22.
Concerns had been growing that the increase would be just 4.6% following a recent decline in inflation. However, the good news for the millions of people struggling with the high cost of living is that the increase will be higher than anticipated.
For those on Universal Credit, the estimated rise will result in an extra £465 per year for joint claimants, where one or both individuals are 25 or older. The monthly payment is expected to increase from £578.82 to approximately £617.60. Joint claimants under the age of 25 can also expect an increase in their payments, from £458.51 to around £489.23 per month. Individuals on a standard allowance who are 25 or older will see a rise from £368.74 to approximately £393.44.
Younger claimants on a standard allowance, under the age of 25, could see their payments increase from £292.11 to around £311.68 per month, resulting in an additional £234 per year.
PIP claimants, who currently receive the enhanced rate for both daily living and mobility, will receive an extra £600 per year. The breakdown of the increase for each PIP component is as follows:
– Daily living – standard rate: £72.66 (up from £68.10)
– Daily living – enhanced rate: £108.56 (up from £101.75)
– Mobility – standard rate: £28.70 (up from £26.90)
– Mobility – enhanced rate: £75.75 (up from £71)
These increases aim to provide some financial relief to those relying on these benefits and help alleviate the burden of living expenses. The rise in payments is expected to come into effect in just over four months, bringing much-needed support to individuals and families.
By implementing this increase in line with inflation, the government aims to ensure that benefit recipients can keep up with the rising cost of living. These adjustments will help individuals and families in the UK make ends meet more comfortably, especially given the challenges posed by the ongoing pandemic.
These changes will likely be welcomed by individuals who rely on Universal Credit, PIP, and other DWP benefits to support themselves and their families. Providing additional financial assistance can make a significant difference in their daily lives and ease some of the financial hardships they face.
It is important to note that while these increases will bring welcome relief to many, there is still a need for ongoing support and attention to ensure that those most vulnerable in society have access to the resources they require.
Overall, the rise in benefits for Universal Credit, PIP, and other DWP benefits is a step towards alleviating the financial strain experienced by claimants. This increase will provide much-needed support to individuals and families across the UK, helping them navigate the challenges of the current economic climate.
