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This month those who claim Universal Credit will be eligible for an increase in payments.
The change has been brought in to bridge the gap between the old benefits system and Universal Credit.
Those who switched to Universal Credit from Income Support, Jobseeker’s Allowance (JSA), Employment and Support Allowance (ESA), Housing Benefit or Pension Credit saw a drop in payment if they were also receiving a top-up allowance called Severe Disability Premium (SDP).
When people were moved from those benefits they were shocked to find they were receiving far less money.
Campaigners have been fighting to get back the lost money, and now the Department for Work and Pensions (DWP) have agreed to give “transitional payments” in a bid to make up the difference.
How much is Universal Credit increasing?
From October 8, claimants will get a boost of up to £405 per month.
Thousands of people on Universal Credit will have an increase of £120, £285 or £450 in their bank accounts, if eligible.
This depends on whether someone is claiming as a single person or a couple, and whether or not they are expected to be looking for work.
Who is eligible for the Universal Credit increase?
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Here is how the eligibly boost for is calculated, as reported by the Birmingham Mail. The amount is:
- £285 a month for claimants not in the Universal Credit limited capability for work related activity (LCWRA) group (roughly the equivalent of the lower rate SDP at £65.85 a week)
- £120 a month where the Universal Credit claimant has been determined as having limited capability for work and therefore already receives an additional amount in their UC award because of their health condition.
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- £405 a month where joint claimants were receiving the higher couple rate SDP in their existing benefits
- £285 a month where joint claimants were receiving the lower couple rate SDP and are not receiving the LCWRA component in Universal Credit
- £120 a month where joint claimants were receiving the lower couple rate SDP and are receiving the LCWRA component in Universal Credit
You can check what you’re entitled to on the Government’s Universal Credit website.
- Universal Credit
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