Universal credit deductions
Guide to dealing with debt deductions from your universal credit (UC) standard allowance.
How much can be taken?
The general limit for all debt deductions is 25% of your UC standard allowance.
This should go down to 15% from April 2025.
Debt deductions can include:
money you owe to the Department of Work and Pensions (DWP)
some other important debts like rent arrears
Table: maximum deductions from April 2024
The amounts in this table are rounded to the nearest pound.
| Claim type | The most that can be taken from your UC standard allowance |
|---|---|
| Single person - under 25 | £78 a month |
| Single person - 25 or over | £98 a month |
| Couples - both under 25 | £122 a month |
| Couples - either person 25 or over | £154 a month |
If you're being evicted for rent arrears
The DWP can take more than the general limit if this would stop your eviction.
The money taken off is paid to your landlord to reduce your rent arrears.
Find out more about:
If your gas or electricity could be cut off
The DWP can take more than the general limit if this would stop your fuel supply being cut off.
The money taken off is paid to your gas or electricity company to reduce what you owe.
Find out more about:
If you owe the DWP money
You have to pay back:
UC advances
budgeting loans or advances
other benefit or tax credit overpayments
hardship payments if your UC is sanctioned
Advances are the most common reason for deductions.
Overpayments of UC must usually be paid back even if they were not your fault.
More about advances or overpayments.
Other important debts
The DWP can take money from your UC and pay it to some other organisations or people.
For example, to your:
landlord for rent arrears
council for council tax arrears
energy or water company for unpaid bills
These are sometimes called 'third party deductions'.
Court fines and child maintenance are other types of third party deduction.
Up to 3 different third party deductions can be taken off each month.
The DWP cannot make deductions for some types of debt. For example, credit cards, bank overdrafts or payday loans.
Contact a debt adviser if you're struggling with money.
If you're affected by the benefit cap
The DWP can still make debt deductions even if your UC is already too low to live on because of the benefit cap. This guide could help you to get the deductions reduced.
Read more advice on the benefit cap.
If you pay rent
Most people get a UC housing element to help with rent.
This guide does not cover deductions from your housing element.
Find out more about:
non dependent deductions - if adult relatives or friends live in your home
the bedroom tax - if you count as having a spare bedroom in a housing association or council home
If your benefit is sanctioned
Debt deductions might pause if your benefit is sanctioned or you have to pay a fraud penalty.
They usually restart when the sanction ends or the fraud penalty is paid off.
Find out about money help if your UC is sanctioned.
For advice on dealing with a sanction or fraud investigation see:
Look at your UC statements every month
Check the amounts and any deductions.
The DWP sometimes make mistakes.
Leave a message in your UC journal if something looks wrong.
Last updated: 19 December 2024
