Universal credit
Universal credit is a means-tested benefit for people of working age and is intended to cover both living expenses and accommodation costs.
Last updated: 10 February 2021
Universal credit claims process
How people claim universal credit online by setting up an account or via the helpline.
Who can claim universal credit
People must meet the conditions of entitlement to claim universal credit
Immigration and residence rules
People can only claim universal credit if they are eligible based on their immigration and residence status.
Calculating universal credit
Universal credit is made up of a standard allowance and additional elements, with deductions of claimant's earned and unearned income and capital.
Universal credit capital rules
Property, savings and other capital are taken into account when assessing entitlement to universal credit, unless they can be disregarded.
Payment of universal credit
Universal credit is normally made as one payment each month into a claimant's bank account. The DWP has the power to alter this arrangement.
Universal credit claimant commitment
Most people claiming universal credit must accept allocated work-related commitments and will have their universal credit reduced if they do not comply.
Transitional protection for universal credit claimants
Transitional protection for claimants who move from existing benefits to universal credit (UC) as part of managed migration.
Universal credit housing costs payment condition
The housing cost element under universal credit can be claimed for rent payments and service charges.
Universal credit housing costs liability condition
To be eligible for the housing costs element of universal credit the claimant must be liable to make the payments in respect of the accommodation.
Universal credit housing costs element occupation condition
The housing cost element is paid for accommodation a person occupies as their home, including during some temporary absences.
Size-related criteria for universal credit housing costs
Calculation of the housing costs element under universal credit for claimants in private and social rented sector, bedroom entitlement and under-occupancy.
Deductions from universal credit for non-dependants
A housing cost contribution is deducted from the housing cost element if a non-dependant lives with a claimant.
Deductions from universal credit for debts
Deductions can be set up from the standard allowance if the claimant owes money to the DWP or other creditors.
Changes in circumstances
It is a claimant's responsibility to report changes of circumstances to DWP. A change will affect benefit from the first day of an assessment period.
Challenging universal credit decisions
To challenge a universal credit decision, a claimant must first apply for a reconsideration and only then appeal to the tribunal, both within set time limits.