Universal Credit claimants banking further £50 a month

Here is who can claim the extra cash

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A windfall is coming for hundreds of thousands of Universal Credit recipients, with payments from HM Revenue and Customs (HMRC) potentially worth as much as £1,200. Latest statistics show that roughly 7.5 million individuals are currently receiving the benefit, which is designed to offer extra assistance with day-to-day expenses.

More than half a million Universal Credit claimants could be set for additional money from HMRC over the next few years. Back in September, HMRC disclosed that about 575,200 people on low incomes have set up a Help to Save account.

The scheme was initially due to finish in 2027, but Chancellor Rachel Reeves announced in her Autumn Budget that it will now become a permanent fixture, as reported by the Mirror. The Chancellor also confirmed that more households on Universal Credit will now qualify to open a Help to Save account.

Those taking part can put away up to £50 each month and get a 50% bonus on top. Savers who manage to stash away the maximum £2,400 over four years (£50 monthly) will pocket a total bonus of £1,200.

HMRC says this money will land in their bank accounts at the conclusion of the second and fourth years. Recent data reveals that from September 2018 (when the programme launched) through to April 2025, 575,200 customers have opened a Help to Save account, putting away a combined total of £588.2 million into their savings accounts.

Lucy Rigby, Economic Secretary to the Treasury, said: “The Government’s Help to Save scheme has boosted the savings of over half a million people across the country to the tune of £220 million. We’re committed to helping families build financial resilience and putting more money in the pockets of working people.”

Money can be paid into Help to Save accounts through different methods including debit card, standing order or bank transfer. Withdrawals are permitted at any time, but it’s worth remembering that this could impact your bonus.