DWP making big change to eight benefits before 'biggest crackdown in generation'

DWP making big change to eight benefits before 'biggest crackdown in generation'
-Credit:Reach Publishing Services Limited


Eight benefits are set to be changed by thr Department for Work and Pensions in a major shake up. The DWP is set to roll out big changes to benefits in line with inflation, as it hikes payments for those who claim in a welcome boost.

But the benefits boost comes with a sting in the tail - as the DWP has warned it will launch the biggest crackdown in a GENERATION under the Labour Party government. Around 19.7 million households, containing 39.5 million people, are estimated to be in receipt of at least one DWP or HMRC benefit that will be uprated from April 2025.

Welfare payments usually increase each year by the rate of inflation from the previous September. The Consumer Prices Index (CPI) rate of inflation in September 2024 was announced to be 1.7%, which is therefore the rate that inflation-linked benefits and tax credits will rise by this year.

ADVERTISEMENT

READ MORE: DWP overhaul to benefits will be 'nightmare' for people on PIP and Universal Credit

READ MORE: DWP boss says thousands will lose benefits under sweeping and brutal reforms

READ MORE UK warned February 'snow events' looking more likely and could be days away

Universal Credit

The standard allowance, which is the basic amount you receive before any additional payments or deductions are accounted for, will rise by:

  • Single under 25: £311.68 a month to £316.98 a month

  • Single 25 or over: £393.45 a month to £400.14 a month

  • Joint claimants both under 25: £489.23 a month to £497.55 a month

  • Joint claimants, one or both 25 or over: £617.60 a month to £628.10 a month

  • Some receive additional payments for factors such as dependent children or long-term illness.

For those with children:

  • First child born before April 6, 2017: £333.33 a month to £339 a month

  • First child born on or after April 6, 2017 or second child and subsequent child: £287.92 a month to £292.81 a month

  • Disabled child element lower rate: £156.11 a month to £158.76 a month

  • Disabled child higher rate: £487.58 a month to £495.87 a month

ADVERTISEMENT

For those with limited capability for work:

  • Limited capability for work: £156.11 a month to £158.76 a month

  • Limited capability for work or work-related activity: £416.19 a month to £423.27 a month

For carers:

  • £198.31 a month to £201.68 a month

Attendance Allowance

People eligible for this are those over the state pension age who need help or supervision with personal care because of illness or disability.

Lower rate:

  • £72.65 a week to £73.90 a week

Higher rate:

  • £ 108.55 a week £110.40 a week

Carer's Allowance

This benefit is given to those who are looking after someone for 35 hours or more a week. You don't have to live with, or be related to them to be eligible.

  • £81.90 a week to £83.30 a week

Child Benefit

This monthly payment is for parents or anyone looking after a child.

  • First or eldest child: £25.60 a week to £26.05 a week

  • Any additional child: £16.95 a week to £17.25 a week

Disability Living Allowance

Disability Living Allowance (DLA) is being replaced by Personal Independence Payment (PIP) for those with a disability. 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.

ADVERTISEMENT

DLA care component rates will increase as follows:

  • The highest rate: £108.55 a week to £110.40 a week

  • The middle rate from £72.65 a week to £73.90 a week

  • The lowest rate from £28.70 a week to £29.20 a week

DLA mobility component rates will increase as follows:

  • The higher rate: £75.75 a week to £77.05 a week

  • The lower rate: £28.70 a week to £29.20 a week

Pension Credit

If you're above state pension age, this credit tops up your income. It also allows the recipient to access other things such as council tax discounts and free TV licences for over-75s.

Standard minimum guarantee:

  • Single: £218.15 a week to £227.10 a week

  • Couple: £332.95 a week to £346.60 a week

There are additional elements available if you're a carer, you're disabled, you're looking after children, or if you have savings and reached state pension age before April 2016.

Personal Independence Payment (PIP)

This is for adults of working age who have an illness, disability or mental health condition. PIP has two components - a daily living rate and a mobility rate. You can be entitled to both or just one of these.

ADVERTISEMENT

Daily living:

  • Lower rate: £72.65 a week to £73.90 a week

  • Higher rate: £108.55 a week to £110.40 a week

Mobility:

  • Lower rate: £28.70 a week to £29.20 a week

  • Higher rate: £75.75 a week to £77.05 a week

State Pension

If you're a man born on or after April 6, 1951, or a woman born on or after April 6, 1953 you can claim the new state pension. The basic state pension is for men born before April 6, 1951, or a woman born before April 6, 1953.

  • Full new state pension: £221.20 a week to £230.25 a week

  • Full old basic state pension: £169.50 a week to £176.45 a week.