ONE million Brits are missing out in Universal Credit payments which could boost their finances.
Nearly £3billion worth of the benefit has gone unclaimed in the past year, according to charity Turn2Us.
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It means each person is missing out on £2,900 on average, though it could be less or more depending on each person’s entitlement.
Estimates by the charity based on government figures put the total amount of unclaimed benefits at £15billion, including support like child benefit and council tax too.
Brits are being urged to check what help they can get by using a benefits calculator and claim for the money they are missing out on.
A common reason for missing out is that those in work but on a low income don’t think they will get anything but many Universal Credit claimants are in work.
Universal Credit can top up a low income if you’re working and is not just for those out of work.
Martin Lewis has urged Brits to check again if they could get Universal Credit if their circumstances have changed.
The complexity of the system for claiming can also put people off, according to Turn2Us and so too can shame around claiming benefits.
The Labour party this week pledged an overhaul of the benefit system including a new name to end stigma around Universal Credit.
A government spokesperson said that it has already supported 3million new Universal Credit claims and raises awareness through campaigns, adverts and social media.
They said: “We encourage anyone who thinks they might be entitled to Universal Credit to check and claim what they’re entitled to. There are a number of benefits calculators available on gov.uk.”
Here we explain how to check if you could be getting Universal Credit, how much you could get and how to claim.
Who’s eligible for Universal Credit ?
You are generally eligible for Universal Credit if you’re on a low income or are out of work.
You need to be over 18, although there are exceptions for some 16 and 17-year-olds, and under State Pension age (currently 65).
You can’t claim if you have more £16,000 or more in savings – but if you can claim as soon as your savings go under this amount if you’re living off the money.
Anyone already claiming benefits that are being replaced by Universal Credit may be able to move to the new system, but they should check carefully before applying as they won’t be able to revert back.
How much can I get on Universal Credit?
How much Universal Credit you can get depends on your circumstances, like if you live with someone, your age and how much you earn if you are working.
The benefit is made up of a standard element and additional payments, if you have kids for instance or need help with housing costs.
There is also currently a £20 uplift to the basic amount because of coronavirus – but that is due to end by October.
- Single, under 25 – £344 (equivalent to £4,128 a year) – dropping to £257.33 from September 2021
- Single, 25 or over – £411.51 (equivalent to £4,938.12 a year) – dropping to £324.84 from September 2021
- Couple, joint claimants both under 25 – £490.60 (equivalent to £5,887.20 a year) – dropping £403.93 from September 2021
- Couple, joint claimants, one or both 25 or over – £596.58 (equivalent to £7,158.96 a year) – dropping to £509.91 from September 2021
You may also get additional money on top[ of this standard amount if you:
- have children
- have a disability or health condition which prevents you from working
- need help paying your rent or covering housing costs
The total amount you get is also affected by how much you earn if you are working.
Your payment is reduced by 63p for every £1 you earn.
The exact amount you can get will depend and a benefit calculator can give you the best idea of what you could be entitled to.
There are several free online benefit calculators that will break down your payments, including:
You’ll typically need to answer information about your living situation and employment to get an accurate figure.
If you live with someone else, you’ll also need to answer questions about them.
This is because how much you’re entitled to will depend on your total household income and how much you have in savings.
There is also a new benefit checker tool that is free to use on the gov.uk website and all you have to do is answer some questions.
Anyone using these tools should be aware that eligibility for benefits is not guaranteed – but the checker can indicate whether it’s worth starting a claim.
It can also guide you to more information about the type of financial support available and the eligibility criteria in detail.
How do I claim Universal Credit?
You can apply for Universal Credit online by creating a government website account.
In order to access the benefit, you should submit your claim within 28 days of making an account.
You’ll need to provide information like your bank account information, details of your income like payslips and any savings and investments.
You will also need to prove your identity with a driving licence, passport of debit and credit card.
You can get help with your application by calling the Universal Credit helpline on 0800 328 5644, or the online support as you’re completing your application.
You can also get advice and support on making a claim from Citizens Advice.
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