The Department for Work and Pensions (DWP) is set to expand eligibility for an additional £110 payment, benefiting thousands of Universal Credit claimants across the UK. This payment is part of an initiative already running in select regions and may soon be rolled out nationwide to support families with children under 16.
During a recent session with the Work and Pensions Committee, policy experts emphasized measures aimed at reducing child poverty. A key proposal involves extending the successful Scottish Child Payment scheme, which currently provides £28.20 per week for each child under 16 to qualifying benefit recipients.
Payments are made every four weeks, amounting to £112.80 per child per cycle. The payment can only be claimed by one person per child to avoid duplication. Importantly, receiving this additional support does not affect any other UK or Scottish Government benefits claimed by the recipient or other household members.
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Eligibility includes those receiving Universal Credit or income-based Jobseeker’s Allowance (JSA). Single claimants on related benefits may also qualify. If only one partner in a household receives these benefits, that partner is eligible to claim the payment.
Edward McPherson, senior consultant at WPI Economics, highlighted the payment’s effectiveness in Scotland in significantly reducing child poverty rates. He added that expanding the scheme UK-wide could yield similarly positive outcomes.
In addition to this increase, Universal Credit’s standard allowance saw a rise in April. Families are now eligible for an additional £303.94 monthly per child, a notable change since support previously capped payments at two children, but now extends to all children in the household.
Parents should also review their eligibility for Child Benefit, which awards £27.05 weekly for the eldest or only child and £17.90 weekly for each additional child. However, households with individual earnings exceeding £60,000 should be aware that repayments may be required, increasing with income until fully repaid at £80,000 annual earnings.
These adjustments represent a significant move toward enhancing financial support for families and tackling child poverty across the UK.