Universal Credit Health Payments Slashed for New Claimants from Next Week
Significant changes to Universal Credit are set to take effect from next week, with the health element for new claimants being dramatically reduced. The Limited Capability for Work and Work-Related Activity (LCWRA) payment, which provides extra monthly support for individuals with health issues or disabilities that restrict their ability to work, will see a sharp cut for those applying from April 6, 2026.
Details of the LCWRA Changes
Currently, the LCWRA element is worth £423.27 per month. For existing claimants, this will increase slightly to £429.80 from the same date. However, in a major policy shift, new claimants will receive only £217.26 per month—a reduction of nearly half. This lower rate will be frozen until the 2029/30 financial year.
An exception applies to individuals with a lifelong severe medical condition, who must inform the Department for Work and Pensions (DWP) to potentially qualify for higher support. Additionally, the LCWRA element is scheduled to be replaced by a new health element linked to Personal Independent Payment (PIP) by 2028/29. This change aims to streamline the assessment process, requiring only one evaluation for PIP instead of separate ones for PIP and Universal Credit.
Other Universal Credit Adjustments
Alongside the health element modifications, the standard allowance for Universal Credit will also see adjustments. This basic amount, received before any additional payments or deductions, is increasing by 6.2%—a rate higher than current inflation. Specifically:
- For a single person aged 25 and over, the weekly allowance rises from £92 to £98.
- For couples, it increases from £145 to £154 per week.
The DWP estimates that by 2029, these above-inflation increases will boost the average standard allowance by £775 in cash terms. Universal Credit, now claimed by over eight million people in the UK, has replaced various legacy benefits such as Tax Credits, Income-based Jobseeker’s Allowance, and Housing Benefit, though some exceptions allow for continued claims in specific cases like supported accommodation.
Monthly Rate Overview
Here is a summary of the new Universal Credit monthly rates:
- Standard Allowance:
- Single under 25: £338.58
- Single 25 or over: £424.90
- Joint claimants both under 25: £528.34
- Joint claimants, one or both 25 or over: £666.97
- Child Amounts:
- First child (born prior to April 6, 2017): £351.88
- First child (born on or after April 6, 2017) or second/subsequent child (with exceptions): £303.94
- Disabled Child Additions:
- Lower rate: £164.79
- Higher rate: £514.71
These changes mark a pivotal moment in the UK's welfare system, impacting millions of claimants and reflecting ongoing adjustments to social support policies.
