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Home » DWP makes major Universal Credit change with UK households given £725 boost
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DWP makes major Universal Credit change with UK households given £725 boost

By staff15 July 2025No Comments2 Mins Read

The Department for Work and Pensions has announced that the Universal Credit standard allowance will permanently rise above inflation, amounting to £725 by 2029/30 in cash terms for a single person aged 25 or over

DWP reforms are being made
DWP reforms are being made(Image: inyourArea)

The Department for Work and Pensions (DWP) has announced a £725 cash boost for individuals on Universal Credit as part of an annual income uplift. By 2029/30, the Universal Credit standard allowance for a single person aged 25 or over will permanently increase above inflation, equating to an extra £725 in cash terms.

Labour MP and Work and Pensions Secretary Liz Kendall said: “Our reforms are built on the principle of fairness, fixing a system that for too long has left people trapped in a cycle of dependence. We are giving extra support to millions of households across the country, while offering disabled people the chance to work without fear of the repercussions if things don’t work out.”

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She believes: “These reforms will change the lives of people across the country, so they have a real chance for a better future.”

Birmingham Live reports that the DWP said: “We are also putting disabled people at the heart of a ministerial review of the Personal Independence Payment (PIP) assessment led by Disability Minister Stephen Timms and co-produced with disabled people, along with the organisations that represent them, experts, MPs and other stakeholders – making sure it is fair and fit for the future.”

Detailing the consultation process, the DWP added: “We will be engaging widely over the summer to design the process for the review and consider how it can best be co-produced to ensure that expertise from a range of different perspectives is drawn upon.

“These reforms are underpinned by a major investment in employment support for sick and disabled people – worth £3.8 billion over the Parliament.

“Funding will be brought forward for tailored employment, health and skills support to help disabled people and those with health conditions get into work as part of our Pathways to Work guarantee.

“This investment will accelerate the pace of new investments in employment support programmes, building on and learning from successes such as the Connect to Work programme, which are already rolling out to provide disabled people and people with health conditions with one-to-one support at the point when they feel ready to work.”

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