DWP announces full list of Universal Credit payment rates for 2025/2026

People on Universal Credit will see their payments go up next year. The amount each person receives is based on a standard allowance plus any entitlement to additional elements for children, disabilities and caring responsibilities, minus any deductions to repay debts.

There are now just over seven million people claiming Universal Credit as numbers increase due to the 'managed migration' of those on older benefits such as tax credits, Income Support and income-based Jobseeker's Allowance (JSA). The final phase is seeing people transferred across from income-related Employment and Support Allowance (ESA) with the process to be ramped up from February so that everyone will have been told to move by the end of next year.

With thousands more people coming on board the Universal Credit system, knowing all the payment rates is crucial. The Department for Work and Pensions has now issued the full list of Universal Credit payments, thresholds and deductions for 2025/2026. These will all come into effect from Monday, April 7, 2025.

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Universal Credit payment rates 2025/2026.

All amounts are per month, as Universal Credit is a monthly benefit paid to a claimant on the same date.

Standard allowance

Single under 25: increasing from £311.68 to £316.98

Single 25 or over: increasing from £393.45 to £400.14

Couple – joint claimants both under 25: increasing from £489.23 to £497.55

Couple – joint claimants, one or both 25 or over: increasing from £617.60 to £628.10

Child amounts

First child (born prior to 6 April 2017): increasing from £333.33 to £339.00

First child (born on or after 6 April 2017) / second child and subsequent child (where an exception or transitional provision applies): increasing from £287.92 to £292.81

Disabled child additions

Lower rate addition: increasing from £156.11 to £158.76

Higher rate addition: increasing from £487.58 to £495.87

Incapacity payments

Limited Capability for Work (LCW) amount: increasing from £156.11 to £158.76 (only payable for claims before April 2017)

Limited Capability for Work and Work-Related Activity (LCWRA) amount: increasing from £416.19 to £423.27

Carer element

increasing from £198.31 to £201.68

Childcare costs

Maximum for one child: increasing from £1014.63 to £1031.88

Maximum for two or more children: increasing from £1739.37 to £1768.94

Non-dependants' housing cost contributions

increasing from £91.47 to £93.02

Work allowances

Higher work allowance (no housing amount) – one or more dependent children or limited capability for work: increasing from £673 to £684

Lower work allowance – one or more dependent children or limited capability for work: increasing from £404 to £411.00

UC Daily Reduction 100% reduction rate

Single under 25: increasing from £10.20 to £10.40

Single 25 or over: increasing from £12.90 to £13.10

Joint claimants both under 25 (per sanctioned claimant): increasing from £8 to £8.10

Joint claimants, one or both 25 or over and one is sanctioned (per sanctioned claimant): increasing from £10.10 to £10.30

40% reduction rate

Single under 25: increasing from £4 to £4.10

Single 25 or over: increasing from £5.10 to £5.20

Joint claimants both under 25 (per sanctioned claimant): staying the same at £3.20

Joint claimants, one or both 25 or over (per sanctioned claimant): staying the same at £4

For payments of arrears – Third Party Deductions at 5% of UC Standard Allowance (excludes deductions for rent and service charges included in rent)

Single under 25: increasing from £15.58 to £15.85

Single 25 or over: increasing from £19.67 to £20.01

Joint claimants both under 25: increasing from £24.46 to £24.88

Joint claimants, one or both 25 or over: increasing from £30.88 to £31.41

Minimum deductions for rent and service charges included in rent at 10% of UC Standard Allowance (10% minimum introduced from Nov 2014)

Single under 25: increasing from £31.17 to £31.70

Single 25 or over: increasing from £39.35 to £40.01

Joint claimants both under 25: increasing from £48.92 to £49.76

Joint claimants, one or both 25 or over: increasing from £61.76 to £62.81

Maximum deductions for rent and service charges included in rent at 15% of UC standard allowance (previously 20%)

Single under 25: decreasing from £62.34 to £47.55

Single 25 or over: decreasing from £78.69 to £60.02

Joint claimants both under 25: decreasing from £97.85 to £74.63

Joint claimants, one or both 25 or over: decreasing from £123.52 to £94.22

Overall maximum deduction rate at 15% of UC standard allowance (previously 25%)

Single under 25: decreasing from £77.92 to £47.55

Single 25 or over: decreasing from £98.36 to £60.02

Joint claimants both under 25: decreasing from £122.31 to £74.63

Joint claimants, one or both 25 or over: decreasing from £154.40 to £94.22

Fraud Overpayments, Recoverable Hardship Payments and Administrative Penalties at 15% of UC standard allowance (previously 25%)

Single under 25: decreasing from £77.92 to £47.55

Single 25 or over: decreasing from £98.36 to £60.02

Joint claimants both under 25: decreasing from £122.31 to £74.63

Joint claimants, one or both 25 or over: decreasing from £154.40 to £94.22

Ordinary Overpayments and Civil Penalties at 15% of UC Standard Allowance

Single under 25: increasing from £46.75 to £47.55

Single 25 or over: increasing from £59.02 to £60.02

Joint claimants both under 25: increasing from £73.38 to £74.63

Joint claimants, one or both 25 or over: increasing from £92.64 to £94.22

Ordinary Overpayments and Civil Penalties at 15% of UC Standard Allowance if claimant's or partner's earnings are over the Work Allowance (previously 25%)

Single under 25: decreasing from £77.92 to £47.55

Single 25 or over: decreasing from £98.36 to £60.02

Joint claimants both under 25: decreasing from £122.31 to £74.63

Joint claimants, one or both 25 or over: decreasing from £154.40 to £94.22

Transitional disability elements

Transitional SDP (Severe Disability Premium) element (if LCWRA element included in the award): increasing from £140.97 to £143.37

Transitional SDP element (if LCWRA element not included in the award: increasing from £334.81 to £340.50

Transitional SDP element (joint claimants & higher SDP rate payable): increasing from £475.79 to £483.88

Transitional SDP element additional amount for EDP (Enhanced Disability Premium) – single: increasing from £89.63 to £91.15

Transitional SDP element additional amount for EDP – couple: increasing from £128.04 to £130.22

Transitional SDP element additional amount for DP (Disability Premium) – single: increasing from £183.52 to £186.64

Transitional SDP element additional amount for DP – couple: increasing from £262.48 to £266.94

Transitional SDP element additional amount for disabled children: increasing from £188.86 to £192.07

Child Maintenance Deduction

Staying the same at £36.40

Capital limits

Upper limit: staying the same at £16,000

Amount disregarded: staying the same at £6,000

Assumed income from capital for every £250 or part thereof, between capital disregard and upper capital limit: staying the same at £4.35

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