The DWP has published the expected new payment rates for Universal Credit from April 2026
The Department for Work and Pensions (DWP) has unveiled the proposed new 2026/27 payment rates for the 8.4 million people on Universal Credit. Alongside the annual increase from April 6, the DWP predicts nearly four million households will experience an annual income boost of around £725 under the new Universal Credit Act.
Changes outlined in the Universal Credit Act aim to adjust the core payment and health top-up in Universal Credit. The Act will result in the Universal Credit standard allowance permanently rising above inflation, equating to £725 by 2029/30 in cash terms for a single person aged 25 or over.
Complete details on all the new payment rates for benefits administered by the DWP can be found on GOV.UK. Most benefits, including Universal Credit, are paid in arrears which means most claimants will not receive the full new amount until after the first payment cycle post-April 6 is completed, reports the Daily Record.
This implies that most Universal Credit claimants will not see the new payment rates in their bank accounts until May, at the earliest.
Universal Credit payment rates 2026/27
Rates displayed are monthly unless stated otherwise.
Single Claimants
- Under 25: £338.58 (from £316.98)
- 25 or over: £424.90 (from £400.14)
Couples
- Joint claimants both under 25: £528.34 (from £497.55)
- Joint claimants, one or both 25 or over: £666.97 (from £628.10)
Child amounts
- First child (born prior to 6 April 2017): £351/88 (from £339)
- First child (born on or after 6 April 2017 / second child and subsequent child (where an exception or transitional provision applies)): £303.94 (from £292.81)
Limited Capability for Work
- Limited Capability for Work amount: £158.76 (no change)
- Limited Capability for Work and Work-Related Activity amount: £217.26 (from £423.27)
- Limited Capability for Work and Work-Related Activity amount (Pre-2026 claimant, severe conditions criteria claimant or claimant who is terminally ill): £429.80
Carer amount: £209.34 (from £201.68)
Work allowances
- Higher work allowance (no housing amount) – One or more dependent children or limited capability for work: £710.00 (from £684.00)
- Lower work allowance – One or more dependent children or limited capability for work: £427.00 (from £411.00)
The complete list of additional elements and deductions for Universal Credit payments can be found on the GOV.UK website.
Provisions in the Universal Credit Act
The DWP has stated that the rebalancing of Universal Credit health and standard elements will address the fundamental imbalance in the system, which they say creates perverse incentives leading people into dependency. Officials say they will be:
- Reducing the health top-up for new claims to £50 per week from April 2026.
- Increasing the Universal Credit standard allowance above inflation for the next four years – worth an estimated £725 by 2029/30 for a single adult aged 25 or over.
- Ensuring all existing recipients of the Universal Credit health element – and any new claimant meeting the Severe Conditions Criteria and/or that has their claims considered under the Special Rules for End of Life (SREL) – will receive the higher Universal Credit health payment after April 2026.
- Creating exemptions from reassessment for those with the most severe, lifelong conditions.
The DWP has asserted that these reforms will tackle the ‘fundamental imbalance in the system which creates perverse incentives that drive people into dependency’.
