Universal Credit claimants under 25 are receiving lower monthly payments than older recipients, a situation described as a “young parent penalty” by benefits specialists. Charis Chittick from One Parent Families Scotland told MPs that the cost of raising a child is the same regardless of age, but under-25s are paid a reduced rate of Universal Credit.
Single claimants under 25 receive £338.58 per month, compared with £424.90 for those aged 25 and over – a gap of £86.32. For couples where both partners are under 25, the monthly payment is £528.34, while couples with at least one partner aged 25 or above receive £666.97, a difference of £138.63.
Speaking before the Work and Pensions Committee and the Education Committee, Ms Chittick said the previous mitigation for young parents had been removed. “The costs are still the same for those young people,” she added, urging a policy change to protect children and families.
The Department for Work and Pensions (DWP) defended the age-based rates, saying younger workers generally earn less and are more likely to live in someone else’s home, resulting in lower household expenses. The department also said the rate structure encourages young people to find work and progress in their careers.
Under the Universal Credit Act 2025, claimants are receiving an above-inflation uplift. A single under-25 claimant will receive an extra £255 this year, while couples where both partners are under 25 will receive approximately £365 more.
