New DWP Universal Credit work rule to start within weeks - see how you'll be affected

New Universal Credit rules are being introduced
New Universal Credit rules are being introduced -Credit:PlymouthLive


Universal Credit claimants are being warned of a new work rule set to start within weeks.

The change - a rise to the Administrative Earnings Threshold (AET) - is being brought in by the Department for Work and Pensions (DWP) from May 13, which will affect thousands of people. The minimum required wage levels for benefit claimants who have work requirements will go up to £892 per calendar month for individuals and £1,437 per calendar month for couples.

This is equivalent to an individual working 18 hours per week at the National Living Wage or couples working a total of 29 hours per week at the National Living Wage. New regulations to raise the AET were laid following Prime Minister Rishi Sunak's speech on welfare reforms, reports BirminghamLive.

Mr Sunak said: "It used to be that if you worked just nine hours a week, you'd get full benefits without needing to look for additional work. That's not right. Because if you can work more, you should. So we're changing the rules. Anyone working less than half a full-time week will now have to try and find extra work in return for claiming benefits."

Confirming the new policy, Minister for Employment Jo Churchill said: "This will raise the Administrative Earnings Threshold level, delivering on a commitment made in the Spring Budget last year, to £892 per calendar month for individual customers and £1,437 per calendar month for couples in Great Britain.

"The new threshold levels would be equivalent to an individual working 18 hours per week at the National Living Wage or couples working a total of 29 hours per week at the National Living Wage. This change will mean that the threshold will have doubled since September 2022 when it was first increased from the equivalent of nine hours for a single person.

"Combined with previous increases this means 400,000 more customers will have more intensive support from our Work Coaches to help them to progress in work and move off welfare. This is why the Government has today laid regulations to amend Regulation 99 (6) of the Universal Credit Regulations 2013 to raise the Administrative Earnings Threshold level to £892 for individual claimants and £1,437 for couples in Great Britain, from 13 May 2024. This is all part of our welfare reforms to make work pay and is backed up by our £2.5 billion Back to Work Plan which will help a million people find, stay and succeed in employment."

The upcoming change will affect 180,000 Universal Credit claimants. Anyone earning below the AET is placed in an Intensive Work Search Group which means they must meet regularly with their work coach to find ways to boost their wages.

They'll have to increase the hours in their current role, find a second job, or move to a better-paid position elsewhere that meets the new requirements. Otherwise, they could be sanctioned and see their benefits cut or stopped until they comply with the rules.

From April 1, the AET went up to £743 for individuals and £1,189 for couples, so the new change will be the second increase in just over a month. Anyone whose pay meets or exceeds the new levels won't have to take any action to boost their wages.