DWP issues warning to anyone claiming Universal Credit
Universal Credit is claimed by almost eight million people in the UK and it has replaced many older benefits including Tax Credits and Jobseeker's Allowance
The Department for Work and Pensions (DWP) has issued a warning to people claiming Universal Credit.
Universal Credit is claimed by almost eight million people in the UK. It has replaced many older benefits including Tax Credits and Jobseeker's Allowance.
Your eligibility for Universal Credit is based on your personal circumstances, including your age, if you live with anyone, your relationship status, income, savings, and sometimes your physical and mental health.
If your circumstances change, then it is your job to inform the DWP - otherwise you could end up being overpaid Universal Credit and you may have to pay this money back. This is usually done through deductions to your future Universal Credit payments.
In a warning published on X, the DWP warned: "If you've moved in with a partner or your living arrangements have changed, remember to update your circumstances using your Universal Credit account. Not reporting changes could lead to overpayments that you may have to repay."
According to GOV.UK, some of the changes you may have to report include:
- Finding or finishing a job
- Having a child
- Moving in with your partner
- Starting to care for a child or disabled person
- Your child stopping or restarting education or training, if they’re aged 16 to 19
- Changing your mobile number or email address
- Moving to a new address
- Going outside Great Britain for any length of time, if you live there
- Going outside Northern Ireland for any length of time, if you live there
- Changing your bank details
- Your rent going up or down
- Changes to your health condition
- Becoming too ill to work or meet your work coach
- If a medical professional has said you’re nearing the end of life
- Changes to your earnings (only if you’re self-employed)
- Changes to your savings, investments and how much money you have
- Changes to your immigration status, if you’re not a British citizen
You can report a change of circumstances by signing in to your Universal Credit account. Most employers will report your earnings for you, so you don't normally need to tell the DWP about your earnings unless you're self-employed.
Universal Credit is made up of a standard allowance, which is the basic amount you get before any additional elements - for example, if you have children or are unable to work due to illness - or any deductions are taken into account.
If you work, there is a taper rate which reduces your maximum Universal Credit payment as your earnings increase. The taper rate is 55% which means 55p is deducted from your maximum Universal Credit payment for every £1 you earn.
Some people get a "work allowance" which is a set amount you can earn before your Universal Credit is reduced. The "work allowance" is worth £411 a month if you also receive help with housing costs, and £684 a month if you don't.
