Universal Credit to Rise to £353.87 for Under-25s Under 2027-28 DWP Rates

Universal Credit rates rise 2027-28 DWP confirms, Digi Mart USA News (United Kingdom): The Department for Work and Pensions (DWP) has published updated information on the rise people on Universal Credit will receive next year. In its annual review, the government confirmed that working-age and disability benefits, including Universal Credit, will increase by 3.5% from April 12, 2027.

Universal Credit is a means-tested social security benefit in the United Kingdom designed to help with living costs for working-age people on a low income, out of work, or unable to work. More than 8.4 million individuals are currently on Universal Credit, a figure driven up by the ongoing managed migration programme transferring people off legacy benefits.

Around 2.2 million claimants are in employment while receiving the benefit.

According to the newly published rates, a single claimant under 25 will receive £353.87 per month in 2027-28, up from £338.58 in 2026-27. Single claimants aged 25 or over will receive £443.21, up from £424.90. For joint claimants both under 25, the amount rises from £528.34 to £551.11, while joint claimants where one or both are 25 or over will receive £695.71, up from £666.97.

Child amounts will also increase. The first child born before 6 April 2017 will receive £364.20, up from £351.88, while the first child born on or after 6 April 2017, and subsequent children, will receive £314.58, up from £303.94.

In a statement to Parliament after the budget, Work and Pensions Secretary of State Pat McFadden said the new rates will apply in the 2027-28 tax year and mainly take effect from April 12, 2027. He also said the basic and full new state pensions will rise by 3.9%, in line with the increase in average weekly earnings, and that the standard minimum guarantee in pension credit will increase by 3.9%, to £247.30 a week for a single pensioner and £377.40 a week for a couple.

Other state pension and benefit rates covered by the statutory review will rise by 3.5%, in line with the consumer prices index for the year to September 2026. This includes most working-age benefits, disability-related additional needs payments, statutory sick pay, statutory maternity pay and additional state pension. The pension credit savings credit maximum amount will also increase by 3.5%.