The Department for Work and Pensions (DWP) has revealed that several benefits will increase starting April 2025. These changes, which include increases to payments such as the State Pension, Universal Credit, and Disability Living Allowance, are in line with inflation rates confirmed at 1.7% based on the consumer price index for September 2024.
However, some benefits, like the State Pension, will rise according to a higher value, depending on inflation, wages, or a 2.5% increase—known as the triple lock promise.
As noted by Charlotte Fisher, author for the Manchester Evening News, “Benefit payments increase every year in line with inflation rates – here’s a full list of how much they are going up by next month.”
Universal Credit increases
Universal Credit is the benefit payment that replaces several legacy benefits administered by the DWP, including Working Tax Credit, Child Tax Credit, Income Support, Income-based Jobseeker’s Allowance, Income-related Employment and Support Allowance, and Housing Benefit.
Over six million people in the UK currently claim Universal Credit. Starting in April 2025, the standard allowance—the basic amount received before any additional payments or deductions—will increase. For single claimants under 25, the payment will rise from £311.68 to £316.98 per month.
For single claimants aged 25 or over, the amount will increase from £393.45 to £400.14 per month. Joint claimants (both under 25) will see their monthly payment increase from £489.23 to £497.55, while joint claimants (one or both 25 or over) will receive an increase from £617.60 to £628.10 per month.
Additional payments for dependent children and long-term illness administered by the DWP will also increase. Payments for the first child (born before April 2017) will increase from £333.33 to £339 per month, while payments for the first child (born after April 2017) and subsequent children will rise from £287.92 to £292.81 per month.
For disabled children, the lower rate will rise from £156.11 to £158.76 per month, and the higher rate will increase from £487.58 to £495.87 per month. The Carer element will also rise from £198.31 to £201.68 per month, and the work allowance will be adjusted accordingly.
Additionally, childcare costs will see an increase, with the maximum amount for one child rising from £1,014.63 to £1,031.88 per month, and the maximum for two or more children increasing from £1,739.37 to £1,768.94 per month.
Attendance Allowance increases
Attendance Allowance, provided to people over the state pension age who require help or supervision due to illness or disability, will also rise. For the lower rate, the payment will increase from £72.65 to £73.90 per week, while the higher rate will increase from £108.55 to £110.40 per week.
Disability Living Allowance (DLA) increases
Disability Living Allowance (DLA), which is being replaced by Personal Independence Payment (PIP) for adults, will see increases across both the care and mobility components.
The care component (higher rate) will rise from £108.55 to £110.40 per week, while the mobility component (higher rate) will increase from £75.75 to £77.05 per week.
The care component (middle rate) will increase from £72.65 to £73.90, and the mobility component (lower rate) will rise from £28.70 to £29.20 per week. These increases, administered by the DWP, will benefit individuals who currently receive DLA, including those with disabilities.
Pension Credit Increases
DWP‘s Pension Credit, which provides additional income to people over state pension age, will also rise. For singles, the payment will increase from £218.15 to £227.10 per week, while for couples, it will increase from £332.95 to £346.60 per week.
In addition to the income top-up, recipients of Pension Credit can access benefits such as council tax discounts and free TV licenses for those aged 75 and over.
The State Pension will rise in line with the government’s triple lock promise, which guarantees the highest increase between inflation, average wage growth, or 2.5%. Starting in April 2025, the full new State Pension will rise from £221.20 to £230.25 per week.
Meanwhile, the old basic State Pension will increase from £169.50 to £176.45 per week.
