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UK Benefits Set to Rise With 3.8% CPI as Universal Credit Poised for Extra 2.3% From 2026

Charity groups warn the proposed uplift follows years of erosion, leaving many households still short.

Overview

  • September CPI of 3.8% is the baseline for next April’s uprating, with final decisions to be confirmed in the Autumn Budget.
  • Reporting indicates the Labour government plans to raise the Universal Credit standard allowance by an additional 2.3% above inflation for four years starting April 2026.
  • Child Benefit is expected to increase next April to £27.03 per week for the eldest or only child and £17.90 for each additional child.
  • The Universal Credit disabled‑child elements are expected to rise to about £164.79 at the lower rate and £514.70 at the higher rate.
  • Charities say increases will only partially ease hardship, noting more than 600,000 households on transitional protection will see no rise and many users report being unable to afford food.