Changes to Universal Credit April 2023

The Universal Credit system is, without a doubt, one of Europe’s most convoluted and confusing benefits systems.

Claimants who had spent years getting used to the old benefits system have found moving to Universal Credit more confusing than it ought to be.

One of the most challenging elements stems from the changes in Universal Credit payments from month to month. In April 2023, Members of Parliament (MPs) voted on a series of changes.

The vote saw a pay rise attributed to Universal Credit claimants to help give more support in such challenging, austere times. Universal Credit, child benefits, and statutory pensions considerably rose in April.

Benefits tend to go up yearly to keep up with inflation, and April saw a 10.1% rise in what claimants will get to keep up with their costs.

This increase was brought in partly to help claimants deal with the ongoing cost of living crisis. Indeed, with energy prices rising by over 50%, UK households have also been hit by rising prices for day-to-day goods and essentials.

Universal Credit April 2023 increase

What will Universal Credit claimants be paid in April 2023?

The new payments that have been brought in will see a modest rise in what claimants will be paid.

The new payment rates for Universal Credit in April 2023 include the following:

  • For single people under the age of 25, £265.31 to £292.11 per month 
  • For single people over the age of 25, £334.91 to £368.74 per month 
  • For joint claims both under 25, £416.45 to £458.51 per month 
  • For joint claims one or both over 25, £525.72 to £578.82 per month 

The Government also announced that people with limited ability to work would be due an increase.

Limited Capability For Work (LCW)from £132.89 to £146.31
Limited Capability For Work (LCWRA) from £354.28 to £390.06

What about those with children?

Universal Credit also has seen some changes raised for those who have children. The new amounts that have been brought in will include the following:

  • A rise from £290 to £315 per month for those with a first child born before April 6th, 2017
  • A rise from £244.58 to £269.58 per month for those with a child born on or after April 6th, 2017, and/or a second/subsequent child

A rise was also brought on for parents who have a disabled child. The lower rate has risen from £132.89 to £146.31, and the higher rate has been increased from £414.88 to £456.89.

Changes to April 2023 Universal Credit Work Allowance

Lastly, the work allowance has been increased so you can earn more without affecting your universal credit payment.

Higher Work Allowance (No Housing Element): From £573.00 to £631.00
Lower Work Allowance (With Housing Element) From £344.00 to £379.00