DWP claimants face £1,000 gap as April rise ‘fails to meet cost of essentials’ – Birmingham Live
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Charities have issued a hardship warning as they say the upcoming April benefits rise will still leave families struggling
DWP benefit claimants will still be left struggling despite the April payments rise, charities have claimed(Image: Getty Images)
Anti-poverty charities warn that the benefits uplift in April will fail to cover the true cost of basic essentials. Despite an above-inflation increase for Uninversal Credit, experts argue that many households will continue to face a significant shortfall in meeting their needs.
- Universal Credit standard allowance is set for a total uplift of approximately 6.2% starting from April next year. This increase is comprised of a 2.3% rise under the Universal Credit Act 2025 plus the September inflation rate of 3.8%.
- Despite the rise, the Joseph Rowntree Foundation claims the standard allowance bears no relationship to the actual cost of life’s essentials. Their calculations suggest single people will receive roughly £98 per week, which is well below the £120 they say is needed for basic survival, meaning singles face an annual gap of at least £1,000.
- Couples are expected to receive around £154 per week following the uplift in their standard allowance. This amount leaves a substantial annual gap of approximately £2,500 when compared to the £205 per week required for essential costs.
- Other forms of support, such as disability benefits and the child element of Universal Credit, are only expected to rise by 3.8%. Charities argue that these specific uplifts will be swallowed up by rents and energy costs that have risen much faster.
- Experts from Turn2us highlight that around 600,000 households on transitional protection will see no increase at all because their payments are frozen after being transferred from older benefits that were higher than their Universal Credit entitlement. They are calling for an Essentials Guarantee to legally ensure that Universal Credit always covers basic food and heating.
- The Department for Work and Pensions maintains that it is focusing on shifting people from welfare into secure employment. They claim that sustaining the main rate of Universal Credit above inflation is a key part of their broader Plan for Change.
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