From April 7, 2025, millions of people receiving State Pension and working-age benefits will see an increase in their payments. State Pension recipients will receive a 4.1% increase, while working-age and disability benefits will rise by 1.7%. However, most claimants will not receive the new rates immediately due to payments being made in arrears.
For those receiving benefits such as Universal Credit (UC), the new rates may not be reflected until May 2025, depending on individual payment cycles. In Scotland, claimants of Adult Disability Payment, Child Disability Payment, Carer Support Payment, and Pension Age Disability Payment will also see a 1.7% increase from April.
Why Will There Be a Delay in Receiving the Increased Payments?
The delay in payments is due to the way benefits are structured:
- State Pension: Most recipients are paid four weeks in arrears, meaning the new rates will not be seen until the following payment cycle. However, those receiving payments weekly or fortnightly will see the increase sooner.
- Universal Credit (UC): Payments are based on monthly assessment periods, meaning some recipients may not see the new rates until May 2025.
- Devolved Benefits in Scotland: Like UC, payments will reflect the new rates in the next scheduled cycle.
The Department for Work and Pensions (DWP) has released the new weekly and monthly rates for 2025/26, which are outlined below.
New Benefit and Pension Rates for 2025/26
State Pension
- Full New State Pension: £230.25 → £238.75 per week
- Full Basic State Pension: £176.45 → £183 per week
Carer’s Allowance
- New rate: £81.90 → £83.30 per week
- Weekly earnings threshold: £151 → £196 per week
Disability Living Allowance (DLA) / Child Disability Payment
Care Component
- Highest: £108.55 → £110.40 per week
- Middle: £72.65 → £73.90 per week
- Lowest: £28.70 → £29.20 per week
Mobility Component
- Higher: £75.75 → £77.05 per week
- Lower: £28.70 → £29.20 per week
Employment and Support Allowance (ESA)
- Single, under 25: £71.70 → £72.90 per week
- Single, 25 or over: £90.50 → £92.05 per week
- Lone parent, under 18: £71.70 → £72.90 per week
- Lone parent, over 18: £90.50 → £92.05 per week
- Couple, both over 18: £142.25 → £144.65 per week
Incapacity Benefit
- Long-term Incapacity Benefit: £138.90 → £141.25 per week
- Short-term Incapacity Benefit (Under State Pension Age):
- Lower rate: £104.85 → £106.65 per week
- Higher rate: £124.00 → £126.10 per week
Income Support
- Single, under 25: £71.70 → £72.90 per week
- Single, 25 or over: £90.50 → £92.05 per week
- Lone parent, under 18: £71.70 → £72.90 per week
- Lone parent, over 18: £90.50 → £92.05 per week
- Couple, both over 18: £142.25 → £144.65 per week
Jobseeker’s Allowance (JSA)
- Under 25: £71.70 → £72.90 per week
- 25 or over: £90.50 → £92.05 per week
Maternity Allowance
- Standard Rate: £184.03 → £187.18 per week
Pension Credit
Standard Minimum Guarantee
- Single: £218.15 → £227.10 per week
- Couple: £332.95 → £346.60 per week
Additional Amounts
- Severe Disability (Single): £81.50 → £82.90 per week
- Severe Disability (Couple, One Qualifies): £81.50 → £82.90 per week
- Severe Disability (Couple, Both Qualify): £163.00 → £165.75 per week
- Carers: £45.60 → £46.40 per week
Personal Independence Payment (PIP) / Adult Disability Payment
Daily Living Component
- Enhanced: £108.55 → £110.40 per week
- Standard: £72.65 → £73.90 per week
From April 2025, millions of pensioners and benefit claimants will see an increase in their payments. However, due to payments being made in arrears, many will not receive the updated rates until their next pay cycle in May.
The State Pension increases by 4.1%, while working-age and disability benefits rise by 1.7%. These changes aim to support claimants with the rising cost of living, but recipients should be aware of potential delays in seeing the higher amounts reflected in their payments.
Source: Link
FAQ’s
When will I receive the increased benefit payments?
Most benefits are paid in arrears, meaning claimants may not see the increase until their next payment cycle in May 2025.
How much will the State Pension increase by in 2025?
The State Pension will rise by 4.1%, with the full new State Pension increasing to £238.75 per week (£12,415 annually).
What benefits are increasing in April 2025?
State Pension, Universal Credit, PIP, ESA, JSA, Carer’s Allowance, and other working-age and disability benefits will increase.
How does Universal Credit handle the benefit increase?
Universal Credit is paid monthly, so claimants may not see the uprated amount until their next assessment period, which could be in May 2025.
Where can I find full details of the benefit rate changes?
Full details on all benefit rate increases, including additional payments and deductions, can be found on GOV.UK.