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Home » DWP Universal Credit payments to rise for millions from June in major boost
Money

DWP Universal Credit payments to rise for millions from June in major boost

By staff28 May 2025No Comments5 Mins Read

With Universal Credit, the delay in the rise in payments is down to the assessment period. This is when the benefits department looks at your financial situation to see how much Universal Credit you will get

14:21, 28 May 2025Updated 14:21, 28 May 2025

Couple paying bills together online
April’s hikes will finally come for millions in this month’s Universal Credit payment(Image: Getty Images/Tetra images RF)

Millions of Universal Credit claimants will see a major boost to their benefit payments next month. The boost comes from the 1.7% increase first implemented in April.

Universal Credit and other Department for Work and Pensions (DWP) benefits rose by 1.7% from April 7. The state pension rose by a bigger 4.1% from the same date due to the Triple Lock promise. The delay is due to how the benefit system works.

With Universal Credit, it’s due to the assessment period. This is when the benefits department looks at your financial situation to see how much Universal Credit you will get. Normally, Universal Credit is paid seven days after the four-week assessment period.

This is because there is no set amount for how much Universal Credit you can get, as the total you can be paid depends on your personal circumstances, which include things like age, whether you live in a couple, have a disability, and whether you have children.

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You can also work while claiming Universal Credit – but the more you earn, the less you get. All this means is that the amount you are paid can change from month to month. It is also paid in arrears, so your payments are always based on your previous month’s circumstances.

So, to get the new rates, your assessment period needed to have started after April 7. If this was the case, you would then see your benefits rise in your May Universal Credit payment.

However, if your assessment period started before April 7, then you will only start seeing the increase from your June payment. This is because the new rates only apply after your first full assessment period of the new tax year.

The DWP has confirmed in previous years that backpay will be awarded for those yet to see the increase, as the delay is the standard annual protocol for applying new rises.

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An example from the benefits charity Turn2Us explains: “Rachel’s assessment period starts on 24 March. It runs for a complete calendar month to 23 April, with a new assessment period beginning on 24 April.

“Universal Credit payments are paid a week after the last date of each assessment period, so Rachel will receive her payment on 30 April. But as this assessment period starts before 7 April, the new rates will not take effect and Rachel will have to wait until her next assessment period (24 April to 24 May) to get the new rate on 31 May.

“John’s assessment period starts on 11 April. It runs for a complete calendar month to 11 May, with a new assessment period beginning on 12 May.

Universal Credit payments are paid a week after from the last date of each assessment period, so John will receive his payment on 18 May. John’s assessment period starts after 7 April, so the new rates will take effect and he will receive increased Universal Credit payment on 18 May.”

How much will Universal Credit payments rise?

As mentioned before, there is no set level for how much money you get every month – what you get is dependent on your personal circumstances.

The additional payments are added on top of your “standard allowance” before deductions are made based on whether you work, have savings, and other measures. Universal Credit’s standard allowance rates rose in April 2025, and below is the 2024-25 rate – alongside what it rose to this year:

  • 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

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