In the Budget on 29th October, the Chancellor announced a package of measures worth £4.5 billion to support the safe and secure roll out of Universal Credit.
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.
The Budget in full Read more