Benefit changes timetable

Multiple Welfare Reforms have been implemented since 2011 - and they continue. Check out what's happening by year or by subject matter in the subheadings - they can have dramatic impacts on claimants and their families.

Please click on the links below to be taken to the relevant section of the page.

Changes beyond 2026

Below we have listed the benefit changes due beyond 2026:

General

• State Pension age will continue to increase and will reach 67 in March 2028.
• The government is currently consulting on replacing NS-JSA and NS-ESA with an “unemployment insurance”. This would be a contributory benefit where entitlement is based on past National Insurance contributions – as the new-style benefits currently are. It would be paid at one rate equivalent to the current higher rate of NS-ESA. There would be no distinction between those who are able or unable to work and all claimants would be given support in finding a new job. As with NS-JSA, entitlement to this benefit would be time limited.

Universal Credit

• The government has announced, in it's Pathways to Work Green Paper (click here), it's proposal to replace the Work Capability Assessment, replace the LCW/LCWRA Elements by a Health Element, and remove the link to capacity for work (linking it to an award of PIP instead). They are also looking are delaying entitlement to this Element until a claimant is aged 22 or over.

Changes in 2026

Below we have listed the benefit changes due in 2026:
 

General

• State Pension age will increase from 6th May 2026 and will reach 67 in March 2028.
• Income-Related ESA, Income Support and Income-Based JSA Departments to be closed down - DWP target is at the end of March 2026. IS and IB-JSA are formally abolished on 1st April (unless in the 2 week run-on) and IR-ESA and working age HB (unless living in 'specified' or 'temporary' accommodation) abolished 1st July.
• The Household Support Fund will be replaced by a Crisis and Resilience Fund which will incorporate Discretionary Housing Payments.

Universal Credit

• The last of the Income-Related ESA / Income Support / Income-Based JSA / HB only claimants are expected to have moved onto UC through managed migration by end March 2026. 
• The government's Universal Credit Act (click here), will increase the Standard Allowance above inflation.
• The government's Universal Credit Act (click here), will half the value of the LCWRA Element for new recipients on or after 6th April 2026 (unless they come under the special rules for end of life or meet the 'severe conditions criteria'.) - click here for more details. 
• The Two Child Limit is scrapped from April (although some families will still be affected by the Benefit Cap)
• The two child limit on the UC Childcare Costs Element is also to be lifted at some point during 2026/27 - increasing the maximum that can be covered if the claimant is paying childcare for a 3rd, 4th etc child.
• From September 2026 free school meals will be available to all claimant's on UC.

Housing Benefit

• There was a longstanding plan that Pension Credit would eventually extend the Housing Costs Addition so that it supported a claimant's rent (instead of them receiving Housing Benefit). However the new government has confirmed that Housing Benefit will remain in place for State Pension age customers for the foreseeable future, but that they will be bringing together the administration of HB and PC to make a more streamlined process sometime in 2026. The aim is to make it easier for pensioners to receive the help they are entitled to.
• The earning disregards for those living in 'specified' or 'temporary' accommodation' are set to increase in Autumn 2026.

Changes in 2025

Below we have listed the benefit changes due in 2025:

General

• From 21 March 2025 onwards, adults living in Scotland who are still getting Disability Living Allowance (DLA) (administered by the UK DWP) will be transferred onto Scottish Adult DLA (administered by Social Security Scotland) instead (click here for more information).
• Parents of children born after 6th April 2025 can claim Statutory Neonatal Care Pay (SNCP) from their employer, if they are taking qualifying Neonatal Care Leave, and meet the same earnings conditions as for SMP (click here for more information).
• Any remaining Income Support, Income-Based JSA, and Income-Related Employment and Support Allowance claimants to be sent Migration Notices by the end of September 2025 (click here for more on Managed Migration).
• From September 2025 working parents of children under 5 will be able to access 30 hours a week of free childcare.
• Winter Fuel Payment will be paid to all pensioners regardless of situation, but recovered from those with income above £35,000.
• Pension Age Winter Heating Payment in Scotland paid by Social Security Scotland from winter 2025.
• The deadline to pay voluntary NICs for the contribution years 2006/7 to 2015/6, to increase New State Pension entitlement, is extended to 5th April 2025.
• The government announced that the Household Support Fund is extended to April 2025 with £421 million for England and £79 million for the devolved administrations.
• from 1st December, Old-Style ESA that is contributory only converts to New Style.

Universal Credit

• From 27th January, extra bedroom for a couple who cannot share a bedroom if disabled member is getting any rate of Attendance Allowance/Pension Age Disability Payment (previously had to be high rate Attendance Allowance/Pension Age Disability Payment).
• LHA rates frozen.
• Surplus Earning threshold stays at £2,500 for further 12 months.
• From April 2025, Fair Repayment Rate reduces to 15% of a claimant's Standard Allowance.
• From April 2025, the higher rate of Third Party Deductions for rent arrears reduces to 15%.
• From April 2025, deductions for Child Maintenance increase in priority.
• From June 2025, the Regulations covering erosion of the Transitional Element (TE) are changed so that when claimants move from 'specified' or 'temporary' accommodation (and getting HB) move into mainstream accommodation the inclusion of the Housing Costs element in their UC will not eroded their TE.
• In September 2025 the final Managed Migration Notices are sent out.

Housing Benefit

• LHA: From 27th January, extra bedroom for a couple who cannot share a bedroom if disabled member is getting any rate of Attendance Allowance (previously had to be high rate Attendance Allowance).
• LHA rates frozen.
• from 14th November, HB terminates if it stops being paid in respect of specified/temporary accommodation (unless pension-age, or unless getting ir-ESA/IS/ib-JSA)

Tax Credits

• The Tax Credit service closes on 5 April 2025.

Changes in 2024

Below we have listed the benefit changes that took place in 2024:

General

• Winter Fuel Payment means-tested for winter 2024/25.
• From April 2024, working parents of two year olds able to access 15 hours of free childcare. 
• From September 2024 working parents of children from nine months old could access 15 hours a week of free childcare.
• From 6th April, the Child Benefit income threshold was raised from £50,000 to £60,000 before tax deductions are taken out. This means that either parent can earn up to an 'adjusted net income' of £60,000 a year before the High Income Child Benefit Charge is applied.
  
  

Universal Credit

• From Jan 2024, new UC claimants no longer able to verify their ID via their Government Gateway account. Verification can still be done online using recent payslips, a valid UK passport etc.
• In April 2024 the LHA rates in Great Britain increased to the 30th percentile of local market rates.
• The Administrative Earnings Threshold (AET) for Universal Credit increased on 13th May 2024 to £991.00 per month for individuals and £1,437 per month for couples. These amounts are gross income, before tax is deducted.
• From December 2024, new UC Budgeting Advances that are taken can be paid back over 24 months (rather than 12).
• Managed Migration timetable:
• 2024/25 –IS, IB-JSA, IR-ESA plus Tax Credits, HB only
• 2024/25 – All remaining IR-ESA cases.
  

Housing Benefit

• In April 204 the LHA rates in Great Britain increased to the 30th percentile of local market rates.
  
• From 8th June; Regulations were amended to exempt those on State Pension age HB from the Two Child Limit.

Scotland

• Transfer of people from Carer’s Allowance to Carer’s Support Payment began.

Changes in 2023

Below we have listed the benefit changes in 2023:

General

• The current ‘Special Rules’ for terminal illness which fast-track benefit applications for those with a terminal diagnosis of six months was expanded to 12-months, 'Special Rules End of Life' definition. Implemented for Universal Credit and Employment and Support Allowance in April 2022 and April 2023 for disability benefits like Personal Independence Payment. Click here for more information.
  
• 9th February 2023 - Bereavement Support Payment extended to cohabiting couples with retrospective payments for some.
  
• From April 2023- National minimum wage increases by 9.7%.
  
• From April - Benefit uprating: at 10.1%. BUT LHAs frozen and Bereavement Support Payment not increased.
  
• From April 2023 - Benefit Cap increased in line with inflation.

• From September 2023 people with pre-settled status under the EU Settlement Scheme will automatically have their status extended by 2 years before it expires if they have not obtained settled status.
  

Universal Credit

• January 2023 - Increased in-work conditionality for some - extension to the Administrative Earnings Threshold rule - to £617 per month for single people and £988 per month for couples. As a result an additional 120,000 part-time workers likely to be required to look for work.
  
• Managed migration starts for Tax Credit only claimants.

• April 2023 - The TSDPE rates uprated in line with CPI for 2023/24 and annually thereafter until 2027/8.
  
• April 2023 - 'Relevant threshold’ for purposes of calculating surplus earnings under Universal Credit to stay at £2,500 until 31 March 2024.
  
• From April 2023 - Help with mortgage interest loan for UC claimants: waiting time reduced from 9 to 3 months, and 'zero hours' rule abolished. This allows working UC claimants to receive the loan whilst in work.
  
• Help with childcare costs: Childcare costs support will be paid upfront to parents on Universal Credit moving into work or increasing their hours by the help of a grant from the Flexible Support Fund.
  The maximum Childcare Costs Element will be increased to £951 for one child and £1,630 for two or more children from July 2023 and increased by CPI each year thereafter until 2027/8.
  
• In October 2023 the number of hours the main carer of a child aged 3 or 4 in the all work related requirements conditionality group was expected to spend on work search and work preparation a week increased to a maximum of 30 hours.

Scotland

• February 2023 - Scottish Government start ed making payments of new Low Income Winter Heating Assistance benefit.
  
• Winter 2023 - Scottish Carers Assistance to begin late 2023 and be fully rolled out in Spring 2024.

• October 2023 - Most Social Security Scotland benefits (except those relying on NI Contributions) added to the list of Public Funds.
  
  

Changes in 2022

Below we have listed the benefit changes due from 2022:

General

• From 1st January 2022: Compensation payments made by schemes established or approved by the Secretary of State to compensate for historical institutional child abuse in the United Kingdom, or under the Home Office’s Windrush Compensation Scheme are disregarded as capital/income for means-tested benefits - see ADM 21/21.
  
• The current ‘Special Rules’ for terminal illness which fast-track benefit applications for those with a terminal diagnosis of six months expanded to a new 12-month 'Special Rules End of Life' definition. From April 2022 for Universal Credit and Employment and Support Allowance and later for disability benefits like Personal Independence Payment. Click here for more information.
  
• From 5th April 2022, Tax Credits and Child Benefit no longer payable into a Post Office card account. HMRC announced that HMRC they are not going to use the Payment Exception Service but instead will use ‘Payout vouchers’ for those who don’t open a bank account. The vouchers which ‘are sent by mail or SMS to customers for them to cash at the Post Office, akin to the way that Post Office card account customers withdraw their money from the Post Office.’
  From 26th April starting or increasing deductions for ongoing fuel costs requires the consent of the claimant.
• Post Office card account (POCA) ends 30 November 2022 - with an alternative payment service for those who need it.
  
  

Universal Credit

• From 8th February 2022 - those UC claimants able to restrict their initial job search in their preferred sector, can only do so for a maximum of 4 weeks. This was previously for up to 3 months - see ADM 02/2022.
  
• From the 15th February 2022 ‘Terminally ill’ ESA/UC claimants no longer have to sign a Claimant Commitment - see ADM 03/2022.
  
• Relevant threshold’ for purposes of calculating surplus earnings under Universal Credit to stay at £2,500 until 31 March 2023.
  
• Managed migration restart from 9th May 2022.
  
• 26th September 2022 - Increase in Administrative Earnings Threshold to £494 per month for single people and £782 per month for couples.
  
• Victims of domestic abuse and modern slavery exempt from the ‘shared accommodation rate’ and have the higher one-bedroom rate applied instead from October 2022.
  
  

Housing Benefit

• Victims of domestic abuse and modern slavery exempt from the ‘shared accommodation rate’ and have the higher one-bedroom rate applied instead from October 2022.
  
  

Scotland

• Roll out of Adult Disability Payment in Scotland from 21st March 2022. The Scottish Parliament approved Regulations that new claimants in certain areas of Scotland will be able to make claims for ADP from 21st March 2022. The plan is for it to be rolled out nationwide from 29th August 2022. The entitlement rules are similar to PIP. Click here for the policy paper.
  
• Scottish Child Payment will double to £20 per child per week from April 2022. Nicola Sturgeon announced the increase at the SNP conference - click here for more.
  
• End of 2022: Winter Heating Assistance (replace Cold Weather Payment and Winter Fuel Payment)
  
  

Changes in 2021

Below we have listed the benefit changes that took place in 2021:

General

• The government announced that it will begin piloting a small scale, in-house, integrated PIP and ESA/UC WCA assessment service, starting 2021 in areas of London (had been delayed due to COVID).
  
• Job Retention Scheme, introduced due to COVID. extended to end 30th September 2021, continuing to pay 80% of wages.
  
• From 8th May 2021, a “breathing space” of up to 60 days (longer if mental health crisis), where people in problem debt will be protected from enforcement action by their creditors and the charging of further interest and fees on their debts. This includes debts owed to central and local government. 
  
• National Living wage - will apply to workers aged 23 and over in April 2021, with a target for it to apply to workers aged 21 and over by 2024.
  
• On 15 July a draft plan was laid before Parliament to extend Widowed Parent’s Allowance and Bereavement Support Payment to surviving co-habiting partners with children who were living with their partner at the time of death. Once approved by Parliament, the changes will apply retrospectively from 30 August 2018, with any backdated payments being made as lump sums. More from gov.uk here.
  
• Amending Regulations - effective from 18th October - replace previous guidance and enable the DWP, with the claimant’s consent, to stagger payments of benefit arrears rather than pay the whole amount as a lump sum, where it believes it is necessary to protect the interests of the claimant - click here for more info.
  

Scotland

• Scottish Child Payment. It is a payment of £10 per week for every child under six for households with children and in receipt of a qualifying benefit (Universal Credit, Legacy Benefits and/or Pension Credit). It does not affect other benefits.  It will be paid from 15 February 2021 but applications have been open since 9 November 2020. The government aims to extend the scheme to children under 16 by the end of 2022.
  
• Child Disability Payment

Universal Credit

• Citizens Advice and Citizens Advice Scotland can continue to provide the "Help to Claim" service for UC claimants during 2021/22. EXTENDED for 2022/23.
  
• Standard Allowance The £20 uplift in the UC Standard Allowance will continue for a further 6 months from April 2021. REMOVED from Oct 2021.
  
• Minimum Income Floor -The suspension of the MIF continues to the end of July 2021. It will gradually be re-introduced in August 2021 but with discretion for it not to be applied to claimants whose self employed earnings are adversely affected by Covid.
  
• Repayment of Advances From April 2021, New Claim Advances & Benefit Transfer Advances can be repaid over 24 months.
  
• Deduction rates From April 2021, the maximum amount for Third Party Deductions will be reduced from 30% of standard allowance to 25%.
  
• Surplus Earnings The surplus earnings threshold will remain at £2500 until 31st March .2022 (when it is due to be reduced from £2500 to £300).
  
• Prisoners on temporary lease will continue to have access to means-tested benefits until 12th May 2021. this is an extension of the original provision, brought in due to the pandemic.
  
• October 2021 - removal of the Covid £20 uplift.
  
• Increase in earnings taper and work allowance from 24th November 2021 - see ADM 20/21.
  
  

UC and HB:

Local Housing Allowance Shared Accommodation Rate from June 2021:

• Care leavers  -Care leavers remain exempt from the Shared Accommodation Rate until age 25.
  
• Homeless Hostels  - Those exempt from the Shared Accommodation Rate due to having lived in homeless hostels for 3 months will include claimants under 25 (currently they must be age 25-35).
  
  

Working Tax Credit

£500 payment The temporary £20 uplift ends from April, but claimants will receive a £500 one off payment.