Universal Credit is the main UK government benefit for people of working age who are on a low income or out of work. Millions of people who are entitled to claim it do not — often because they do not realise they qualify or find the system confusing.
- What is Universal Credit?
- How to claim
- Getting the right amount
What is Universal Credit?
Universal Credit replaced six older benefits — Jobseeker's Allowance, Employment and Support Allowance, Income Support, Working Tax Credit, Child Tax Credit, and Housing Benefit — into a single monthly payment. It is paid monthly in arrears directly into your bank account.
Universal Credit is designed to support people both in and out of work. You can claim while employed if your earnings are low enough.
Who qualifies?
You may be eligible for Universal Credit if you are aged 18 or over and under state pension age, live in the UK, have less than £16,000 in savings, and either work with a low income, are looking for work, or are unable to work due to illness or disability.
Your Universal Credit payment depends on your circumstances — your age, whether you have children, housing costs, and any earnings or other income you receive.
How to claim
Claims are made online at gov.uk/universal-credit. The process involves creating an account, providing personal details, confirming your identity, and attending an initial appointment with your work coach at your local Jobcentre.
There is typically a five-week wait for your first payment, which can cause financial hardship. You can request an advance payment to cover this period, which is repaid from future Universal Credit payments.
Getting the right amount
The Universal Credit system includes multiple additional elements — a childcare element, a disability element, a housing element and others — that you may be entitled to. Make sure all your circumstances are accurately reflected in your claim, and seek help from Citizens Advice or a benefits calculator if you are unsure.
Bottom line
Universal Credit can provide vital financial support for millions of UK households. If you are on a low income, out of work, or facing financial difficulties, check whether you are entitled to claim using a free benefits calculator at entitledto.co.uk or gov.uk/benefits-calculators.