Starting in April 2025, the UK government will increase certain benefit payments by £790 annually. This change aims to provide financial relief to low-income households, pensioners, and individuals receiving state benefits. If you receive benefits from the Department for Work and Pensions (DWP), understanding these changes can help you plan your finances better. This article covers everything you need to know, including eligibility, key dates, and how to prepare for the increase.
What is the £790 Payment Increase?
The £790 increase is an annual rise in certain UK government benefits. It translates to roughly £65.83 more per month, helping recipients manage rising living costs. The increase will be applied automatically, so eligible recipients don’t need to apply separately.
Who is Eligible for the £790 Increase?
To qualify for this increase, you must be receiving specific benefits from the DWP. Here’s a breakdown of the main groups who will benefit:
1. Universal Credit Recipients
- If you receive Universal Credit, you will see an increase in your standard allowance.
- The amount varies based on factors like age, relationship status, and whether you have children.
2. Personal Independence Payment (PIP) Recipients
- People receiving PIP for long-term disabilities or health conditions will see an increase in both the daily living and mobility components.
- The exact amount varies based on individual assessments.
3. State Pensioners
- Pensioners receiving the State Pension will benefit from this increase, particularly those also receiving Pension Credit.
- Those who have not yet reached the full State Pension age should check if they qualify for additional benefits.
4. Other Benefits Affected
- Employment and Support Allowance (ESA)
- Jobseeker’s Allowance (JSA)
- Carer’s Allowance
- Income Support
Key Dates to Remember
Understanding the key dates related to the £790 payment increase is essential for financial planning.
- April 6, 2025 – The new benefit rates come into effect, meaning all payments after this date will reflect the increased amounts.
- April 7, 2025 – The official start of the financial year for UK benefits, when new State Pension and benefit rates take effect.
- April 5, 2025 – Deadline for making National Insurance contributions to qualify for certain benefits.
How to Check Your Eligibility
To confirm whether you qualify for the £790 increase, follow these steps:
- Review Your Current Benefits
- Check your benefit payment letters or log in to your Universal Credit account.
- Contact the DWP
- Call or visit your local Jobcentre Plus office.
- Use the online eligibility checker on gov.uk.
- Use Online Benefit Calculators
- Free tools like the EntitledTo or Turn2Us calculators can estimate how much you’ll receive.
Impact on Different Benefits
Universal Credit
- Single claimants (aged 25 and over) will see their standard allowance increase.
- Those under 25 will receive a smaller increase but still benefit from the adjustment.
Personal Independence Payment (PIP)
- Both daily living and mobility components will increase.
- People undergoing reassessment should check how the new rates affect their payments.
State Pension
- Pensioners eligible for Pension Credit may receive additional financial support.
- Those reaching State Pension age in 2025 should check how the increase affects their pension calculations.
Additional Support Measures
Aside from the £790 increase, other financial support measures are being introduced:
Help to Save Accounts
- From April 6, 2025, Help to Save accounts will be available to all Universal Credit claimants with earnings over £1.
- These accounts provide a government bonus on savings, encouraging low-income earners to save.
Household Support Fund
- Extended until March 2025, this fund offers financial aid for essentials like food and utilities.
- Local councils administer the fund, so eligibility varies by region.
How to Prepare for the Payment Increase
To make the most of the benefit increase, consider the following steps:
- Update Personal Information – Ensure that DWP has your latest bank details and contact information.
- Monitor Official Announcements – Stay updated on changes through gov.uk and official DWP notifications.
- Plan Your Budget – Consider how the increase can help manage expenses or contribute to savings.
- Seek Financial Advice – If unsure about how these changes affect you, speak with a financial advisor or local support service.
Conclusion
DWP: The April 2025 DWP £790 payment increase is a significant boost for millions of UK benefit recipients. Whether you receive Universal Credit, PIP, or State Pension, understanding these changes will help you plan better. Stay informed about eligibility, key dates, and additional support measures to ensure you get the maximum benefit. If you have questions, contact DWP or use online resources to check your entitlements.