In April 2025, the Department for Work and Pensions (DWP) has rolled out a significant boost to a range of benefits, giving millions of UK residents a much-needed financial lift. These changes reflect efforts to ease the burden of inflation and support households facing increased living costs.
Key benefit categories like Universal Credit, State Pension, PIP, and Carer’s Allowance have all received notable increases.
Updated DWP Benefit Rates – 2025
The table below outlines the new rates for major benefits, comparing them to last year’s figures:
| Benefit Type | 2024/25 Rate | 2025/26 Rate | Increase |
|---|---|---|---|
| Universal Credit (Monthly) | |||
| Single under 25 | £311.68 | £316.98 | £5.30 |
| Single 25 and over | £393.45 | £400.14 | £6.69 |
| Joint under 25 | £489.23 | £497.55 | £8.32 |
| Joint 25 and over | £617.60 | £628.10 | £10.50 |
| State Pension (Weekly) | |||
| Basic State Pension | £169.50 | £176.45 | £6.95 |
| New State Pension | £221.20 | £230.25 | £9.05 |
| Carer’s Allowance (Weekly) | £81.90 | £83.30 | £1.40 |
| Personal Independence Payment (PIP) | |||
| Daily Living – Enhanced | £108.55 | £110.40 | £1.85 |
| Daily Living – Standard | £72.65 | £73.90 | £1.25 |
| Mobility – Enhanced | £75.75 | £77.05 | £1.30 |
| Mobility – Standard | £28.70 | £29.20 | £0.50 |
| Attendance Allowance (Weekly) | |||
| Higher Rate | £108.55 | £110.40 | £1.85 |
| Lower Rate | £72.65 | £73.90 | £1.25 |
| Child Benefit (Weekly) | |||
| Eldest/Only Child | £25.60 | £26.04 | £0.44 |
| Additional Children | £16.95 | £17.24 | £0.29 |
What Else Is Changing in 2025?
1. Household Support Fund Extension
The Household Support Fund has been extended, offering continued assistance for essentials like food, heating, and utilities for low-income families and individuals.
2. Reduced Benefit Deductions
The maximum deduction from Universal Credit has been reduced from 25% to 15%, allowing recipients to keep more of their monthly payments.
3. Increased Earnings Limit for Carers
The weekly earnings limit for Carer’s Allowance has risen from £151 to £181, letting carers earn more without losing their benefits.
Who Will Benefit?
- Pensioners receiving the Basic or New State Pension
- Universal Credit recipients
- Carers claiming Carer’s Allowance
- Individuals receiving PIP or Attendance Allowance
- Families receiving Child Benefit
- Low-income households needing emergency support through the Household Support Fund
These increases are applied automatically—there is no need to reapply.
The 2025 DWP benefit hike is one of the most comprehensive increases in recent years, delivering meaningful financial support across multiple programs. With higher Universal Credit, State Pension, PIP, and Carer’s Allowance payments, many households will feel some relief from ongoing economic pressure.
Keeping personal details up to date and monitoring payment schedules will ensure smooth processing and access to these enhanced benefits.
FAQs
When will I see the increased payments?
The new rates took effect from April 8, 2025. Your first full payment at the increased rate will arrive after this date.
Will the new rates affect my eligibility?
No. The eligibility criteria remain the same. Only the payment amounts have increased.
Do I need to apply to receive these increases?
No. All updates are automatic. If you’re already receiving benefits, you’ll see the updated amount in your next payment.