**Millions of Universal Credit Recipients to See Increased Payments in June**
A significant change is arriving for millions of Universal Credit claimants this month, as the government implements its annual adjustments to benefit payments. This week marks the point at which recipients across the country will begin receiving increased sums following a 1.7% rise in Universal Credit rates, first announced by the Department for Work and Pensions earlier this year.
Although the benefit uplift officially commenced on 7 April, the nature of the Universal Credit system means that most claimants are only now commencing their higher payments in June. This is because Universal Credit payments are made monthly and in arrears, with the increased rates only applicable to assessment periods starting on or after that April date. An assessment period is used to calculate the amount a claimant receives, based on earnings, deductions, or changes in circumstances throughout the month.
The payment process works such that money arrives roughly a week after the closing date of each assessment period. For those whose most recent assessment period began after 7 April, their first boosted payment will be received in the coming days. It is worth noting that some individuals may have already observed the increase at the end of May, depending on their specific assessment cycle.
Universal Credit is structured with a standard allowance which varies according to age and whether a claimant is single or part of a couple. Additional elements such as childcare costs or disability support can also be added, but the headline figures reflect the base allowance before these are factored in. Under the new rates, single claimants under 25 will see their monthly allowance rise from £311.68 to £316.98, while those aged 25 and over will see it climb from £393.45 to £400.14. For those claiming as a couple under 25, the allowance has increased from £489.23 to £497.55, and for couples where at least one person is 25 or older, payments are now £628.10, up from £617.60.
The changes are a part of the government’s ongoing overhaul of the welfare system, with Universal Credit gradually replacing six legacy benefits: Working Tax Credit, Child Tax Credit, Income Support, income-based Jobseeker’s Allowance, income-related Employment and Support Allowance (ESA), and Housing Benefit. New claims for several of these older benefits have already been closed, but a significant number of households—especially those in receipt of income-related ESA—have yet to migrate fully to Universal Credit.
By September 2025, the DWP aims to have contacted all remaining ESA claimants, with the final transition to be completed by March 2026. This sweeping reform, which began several years ago, was designed to simplify the benefits system, making it easier for claimants to manage and for the government to oversee.
As these changes start to take effect, the Department for Work and Pensions has also reminded Universal Credit claimants of their ongoing responsibility to report any significant changes in their lives. This includes new jobs, changes to household composition, or a change of address. Failure to update these details in a timely manner may mean incorrect payments are made—either an underpayment, which could leave claimants short, or an overpayment that would later need to be repaid.
Such reminders from the DWP form part of a wider push to ensure the benefit system remains accurate and responsive to individuals’ real-life situations, as the cost of living and the economic landscape continue to evolve.
For many families and individuals, the modest increase in Universal Credit payments will be a welcome if limited, relief against the ongoing pressure of rising prices and living costs. However, some support groups have argued the adjustments do not go far enough given current inflation rates—a debate set to continue as further uprating decisions are made in future years.
The changes align with the government’s annual review process, cementing Universal Credit’s place as the central pillar of the UK’s working-age benefits system. As further updates loom for benefits recipients, the DWP urges everyone affected to stay informed and ensure their details with the department remain accurate to avoid any disruption to their payments.