Benefits increase: Cash boost for millions as payments rise by 10.1% - full list & how much you’ll get

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Millions of people on benefits are set to get a cash boost as payments rise in line with inflation rates - full list of what will increase and how much you’ll get.

Millions of people claiming benefits such as Universal Credit will see their payments increase this week. The boost is due to the fact that benefits rise every year in line with the previous September rate of inflation.

As the Consumer Price Index (CPI) inflation for September 2022 was 10.1 per cent, benefits are set to rise by this amount from April 2023. The exact date the new rate kicked in for most benefits was Bank Holiday Monday (April 10).

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Some saw their payments increase slightly sooner. For example, housing benefit increased on April 1 in cases where rent is paid monthly, and on April 3 when rent is paid every week. Tax Credits also increased on April 6 - in line with the new tax year.

The move was announced by Chancellor Jeremy Hunt in his autumn statement in November last year, and cost £11 billion. Mr Hunt said he was committed to protecting “the most vulnerable” in society during his speech.

It is estimated that around 10 million households will benefit from the extra support. Here’s a full list of benefits that are increasing, taken from the government website.

Universal Credit

  • If you’re single and under 25, the standard allowance will go up from £265.31 to £292.11
  • If you’re single and aged 25 or over, the standard allowance will increase from £334.91 to £368.74
  • Joint claimants’ who are both under 25 will see their standard allowance will go up from £416.45 to £458.51
  • While joint claimants where one or both are 25 or over, will see their standard allowance go up from £525.72 to £578.77

Universal Credit for those with children

  • If your first child was born prior to April 6, 2017, you’ll receive £319.29 (as compared with the current rate of £290)
  • If your child was born on or after April 6, 2017, or you have a second child and subsequent child, you’ll receive £269.28 (as compared with the current rate of £244.58)
  • If you have a disabled child and receive a lower rate addition, your payment will increase from £132.89 to £146.31
  • If you have a disabled child and receive a higher rate addition, your payment will increase from £414.88 to £456.78

Universal Credit for a limited capability for work

  • If you have limited capability for work, the extra support you’ll receive will go up from £132.89 to £146.31
  • If you have limited capability for work and work-related activity, the amount will go up from £354.28 to £390.06

Universal Credit for carers

  • Those caring for a severely disabled person for at least 35 hours a week are entitled to support. In the year 2023/2024, this amount will rise from £168.81 to £185.86.

Universal Credit for increased work allowance

  • The higher work allowance for those with one or more dependent children, or limited capability for work, will increase from £573 to £630.87, while the lower work allowance is going up from £344 to £378.74.
Millions of people on benefits are set to get a cash boost as payments rise in line with inflation rates. Millions of people on benefits are set to get a cash boost as payments rise in line with inflation rates.
Millions of people on benefits are set to get a cash boost as payments rise in line with inflation rates. | AFP via Getty Images

Housing benefit

If you’re single, housing benefits will increase as follows:

  • For under 25s, it’ll rise from £61.05 to £67.22
  • If you’re on main phase ESA, from £77 to £84.78
  • For those aged between 25 and state pension credit age, from £77 to £84.78
  • For anyone who has reached pension age, £197.10 to £217

For lone parents:

  • If you’re under 18, payments will increase from £61.05 to £67.22
  • If you’re on main phase ESA, from £77 to £84.78
  • If you’re aged between 18 and state pension credit age, from £77 to £84.78
  • If you’ve reached state pension age, from £197.10 to £217

For couples:

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  • If both are aged under 18, payments will go up from £92.20 to £101.51
  • If one or both are aged between 18 and state pension credit age, from £121.05 to £133.27
  • If you’re on main phase ESA, from £121.05 to £133.27
  • If one or both have reached pension age, from £294.90 to £324.68

Pension Credit

Pension Credit exists to support retirees on a low income. From April 2023, the rates will rise as follows:

  • For those who are single, your income will be topped up to £201.04 instead of the current rate of £182.60
  • For couples, it’ll be topped up to £306.85 as compared with the current rate of £278.70

Attendance Allowance

If you have a disability severe enough that you require somebody else to look after you, you may be entitled to Attendance Allowance. It’s paid at two rates depending on how much the level of care that you need.

  • The lower rate will go up from £61.85 to £68.10
  • The higher rate will go up from £92.40 to £101.73

Carers Allowance

If you care for someone at least 35 hours a week (and they get certain benefits), you can claim Carer’s Allowance.

  • From April 2023, the rate will increase from £69.70 to £76.74 a week.

Disability Living Allowance

The Disability Living Allowance (DLA) is being replaced by Personal Independence Payment (PIP) for disabled people. You can only apply for DLA if you’re under 16 and you live in England or Wales. Those who live in Scotland can apply for Child Disability Payment.

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Next year, DLA care component rates will increase as follows:

  • The highest rate will go up from £92.40 to £101.73
  • The middle rate from £61.85 to £68.09
  • The lowest rate from £24.45 to £26.92

DLA mobility component rates will increase as follows:

  • The higher rate will go up from £64.50 to £71.01
  • The lower rate from £24.45 to £26.92

Personal Independence Payment (PIP)

This payment, known as PIP, helps with extra living costs for those with illnesses or disabilities. From April 2023, the rates will change as follows:

  • The enhanced daily living component will go up from £92.40 to £101.73
  • The standard daily living component will increase from £61.85 to £68.10
  • The enhanced mobility component will rise from £64.50 to £71.01
  • The standard mobility component will rise from £24.45 to £26.92 for standard

State pension

  • The new state pension rate will increase from £185.15 a week to £203.85.

Employment Support Allowance

This benefit provides support to those on a low income by topping up their pay where needed. Here’s how it’s changing from April 2023:

  • If you’re under 25 years old, support will increase from £61.05 to £67.22
  • If you’re 25 and older, from £77 to £84.78
  • Lone parents under 18 will see the rate go up from £61.05 to £67.22
  • Lone parents who are 18 or over, from £77 to £84.78
  • There are also further rates for couples, those with disabilities or caring responsibilities, which can be found here.

Jobseekers Allowance

Jobseekers Allowance (JSA) exists to support unemployed people while they look for a job. It’s being replaced by Universal Credit, but those still claiming JSA will see their payments increase in the new year.

  • If you’re under 25, contribution-based and income-based payments will increase from £61.05 a week to £67.22
  • If you’re 25 or over, these rates will go up from £77 to £84.78 a week
  • Rates for couples, those with children, disabilities or caring responsibilities can be found here.

Maternity, paternity, adoption and shared parental pay

  • The statutory rates for maternity, adoption, paternity and shared parental pay will all increase from £156.66 to £172.48. Payments for parental bereavement will also go up by the same amounts.

Maternity allowance

This will benefit new mums who don’t qualify for standard maternity pay.

  • If you qualify, payments will rise from £156.66 a week to £172.48 from April 2023.

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