Key Budget announcements:
- The Universal Credit Work Allowance will be increased by £1,000 from April 2019. This means that 2.4m households will keep an extra £630 of income each year.
- Jobseekers’ Allowance, Employment and Support Allowance and Income Support will roll on for the first fortnight of a Universal Credit claim, where otherwise they would have stopped. This will be effective from July 2020, and benefit around 1.1 million claimants.
- Government is extending the 12-month grace period (the period before the Minimum Income Floor applies) to support all gainfully self-employed people. This will be introduced from July 2019 and implemented fully from September 2020.
- Claimants can repay overpayments and debt more slowly from October 2019 (from 40% of the standard allowance to 30%), and from October 2021 people will have longer to repay advances.
- In addition, the Budget provides funding for the announcements made by the Secretary of State for Work and Pensions in April and June 2018 to support the roll out of Universal Credit.