Department for Work and Pensions announces Universal Credit reforms across UK
WHO: Department for Work and Pensions and Pat McFadden.
WHAT: New Universal Credit legislation and benefit increases.
WHERE: Across England, Wales, and Scotland.
WHEN: Legislation laid 9 February 2026; April 2026 rollout.
WHY: To rebalance the benefits system and encourage employment.
A new increase to the Universal Credit standard allowance will provide more money for working households from April.
The government laid new legislation in Parliament today to rebalance the benefits system.
Almost four million households will receive the first sustained above-inflation increase to their payments.
Reforming the Universal Credit standard allowance
For a single person aged 25 or over, the boost is worth around £295 extra this year.
By the end of the decade, this increase is expected to rise to £760 per year.
Work and Pensions Secretary Pat McFadden said: "These reforms put more money in the pockets of working people."
He added: "We are building a welfare system that rewards work and offers a route to a better future."
Support for residents into work
The government is investing £3.5 billion in employment support to help residents access better jobs.
Over 1,000 Pathways to Work advisers are now based in Jobcentres to offer one-to-one assistance.
One resident, Hayden, said: "My Pathways to Work adviser saw my potential, not my limitations."
New claimants for health-related benefits will receive a lower monthly rate of £217.26 from April.
However, residents with severe conditions and all existing claimants will continue to receive the higher rate.
Related Links
MORE: Official council source — https://www.gov.uk/government/news/government-reforms-welfare-system-to-support-people-into-work
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