- Around 1.2 million of the poorest households – including 700,000 with children – will keep an extra £420 a year on average, due to Universal Credit change.
- New Fair Repayment Rate – which comes into force today – caps Universal Credit deductions at 15%, down from 25%.
- Comes as part of the Government’s Plan for Change to make working people better off by helping them into jobs and extending support for low-income families.
More than one million households struggling with debt will get to keep an average £420 more of their benefits each year, under a change to Universal Credit coming into force today [Wednesday 30 April 2025].
The Fair Repayment Rate places a limit on how much people in debt can have taken…