DWP considers £623 a month enhance to Universal Credit funds

The Department for Work and Pensions (DWP) has responded to proposals to increase Universal Credit payments by over £620 a month. Labour MP Chris Hinchliff put forward the idea in a parliamentary question, asking if the Government would consider expanding the child element of Universal Credit.

Currently, claimants can receive additional payments on top of their monthly standard allowance if they have children. People can get additional cash for the first and second child, with further payments on offer for other children born under certain circumstances.

However, Mr Hinchliff, who represents North East Hertfordshire, asked if the Government would consider introducing additional rates for the third and other children. He suggested potential rates could include “a child element of Universal Credit of (i) £287.92, (ii) £191.95 and (iii) £143.96 for (A) third and (B) further children”.

If a claimant received all three of these extra payments, their claim could increase by £623.83 a month, or £7,485.96 a year. Work and pensions minister, Alison McGovern, responded to the calls for payment increases, outlining the Government’s plans.

She stated: “We are committed to tackling child poverty and are introducing free breakfast clubs in every primary school to ensure children are fed a nutritious breakfast and are ready to learn. The new ministerial taskforce will drive cross-government action on child poverty, starting with overseeing the development of our ambitious new strategy in line with the opportunity mission.

“After initial engagement, the formal work to develop the new child poverty strategy will begin and we will publish a full terms of reference in the coming weeks. We will explore how we can use all the available levers we have across government and wider society to drive forward the change our children need.”

Under the current rates, a Universal Credit claimant can get an extra £333.33 a month for their first child if they were born before April 6, 2017, and an extra £287.92 if they were born after this date. You can also get an extra £287.92 for your second child, as well as extra amounts for other children, in certain circumstances.