Now, Universal Credit is on its way, and you can claim it to enjoy other benefits. It came as a replacement for major historical benefits such as the child tax credit and the housing benefit. If you are receiving any of the older benefits, you will be contacted and told to transfer them to Universal Credit.
Universal Credit Increase June 2025
The Government of the UK makes modifications to its government schemes from time to time in order to introduce more effective schemes for the welfare of the citizens around the UK by considering the economic conditions, needs, and lifestyle. The UK government has launched a new scheme named ‘Universal Credit (UC)’, which has become a lifeline for the millions of households and citizens around the country.
Over 6 million people around the UK are getting the Universal Credit, which came as a replacement for other important credit schemes. It is said that by July 2025, new policies and rules will be introduced related to the Universal Credit. If you are thinking of claiming the benefits or have already claimed in this credit scheme, this article will provide you with all the necessary details which is important for you. Let’s check the changes applicable from July 2025, eligibility criteria, and other necessary information.
2025 Universal Credit Increase: Overview
| Article On | Universal Credit Increase 2025 |
| Department | Department for Work and Pensions |
| Country | U.K. |
| Beneficiary | Working People with low income |
| Payment increase | 1.7 % |
| Payment Amount | £316.98 to £628.10 (depends on criteria) |
| Criteria | Government Aid |
| Official Website | gov.uk |
What is Universal Credit?
To help the people around the UK, the government has introduced ‘Universal Credit (UC)’ to manage the cost of living expenditures. It is specifically for the vulnerable lower-income households, which came as a replacement of the other benefits such as:
- JSA (income-related)
- ESA (income-related)
- Income Support
- Housing Benefits
- Child Tax Credit
- Working Tax Credit
Individuals already receiving any of these benefits will be contacted for their consent to transfer them to the Universal Credit. However, it is not necessary to transfer, but once you have claimed the Universal Credit, you can’t get the other benefits.
Universal Credit: Eligibility Criteria
Any individual, whether working, non-working, or unable to work, can claim Universal Credit under the following circumstances: –
- Resident of the UK
- Must be 18 years or above (16 or 17 years in some exceptional cases)
- Must be under the State Pension Age
- Must have £16,000 or less in savings, money, and investments
New Rules for Universal Credit Increase
The UK Government has created a new rate, ‘fair repayment’, that limits the repayment of debts in Universal Credit, which came into effect from 30th April 2025. Earlier, up to 25 per cent of the payment could be withdrawn to cover the previous debt, but now it has been cut down to 15 per cent of the standard allowance. It is said that more than 1.2 million families will get relief from the cut in the percentage.
The government is also focusing on tracking fraud and theft, and carrying out different checks on the claimants who have changed their circumstances or have introduced a new technique to pull money straight from the bank account.
Universal Credit 2025: New Payment Amount
Universal Credit is a monthly payment. However, it depends on various factors:
- Standard Allowance
- Money taken off your payment
- Monthly income
- An extra amount applied to you
Now, let’s see the breakdown of the payment you will get:
| Monthly Payment | Conditions |
| £316.98 | Single and under 25 |
| £400.14 | Single and above 25 |
| £497.55 | Lives with the spouse, and both are under 25 |
| £628.10 | Lives with the spouse and either one is under 25 |
Who will I get the Payment from?
You get the payment of Universal Credit once a month, either into your bank account or credit union, or building society account. The payment includes benefits such as money for rent or other housing expenses.
Generally, it takes around 5 weeks to receive the payment, but if you need it urgently, you can apply for advance payment. After your first payment of Universal Credit, you will get the next one on the same date every month, and if any public holiday or weekend falls on the payment date, you will get the payment a day before.
How Can I Apply for the Universal Credit 2025?
You can fill out the online application for the Universal Credit by visiting the official website gov.uk. But make sure that before applying for the credit, you must create an online account and thereafter complete the claiming procedure within 28 days. In case you live with your spouse, and both of you desire to file the claim, you need to create separate accounts and link them together.
For filling out the online application, make sure you have access to your bank details, society or credit union details, phone access, and an email address. You will also have to show relevant documents such as identity proof, driving license, and passport. There is some other information which the Department of Works and Pensions asks for, such as salary, rent or mortgage amount, national insurance number, savings, investments, health conditions, disability, pay for child care, and other benefits.
If you face any difficulty, you can call the helpline number of Universal Credit, which is 0800 328 5644.
What If I Want to Apply for the Payment in Advance?
You can apply for the payment advance. Here is what you need to follow:
- Explain the reason for getting the advance
- Confirm your identity
- Provide your bank details for an advance.
If the reason is found valid for the advance payment, you will get the information within a day.
| Official Website | Click Here |
| Homepage | moyle-council.org |
