Benefit and state pension rates changed yesterday - here's what you need to know

The changes have seen state pensions rise, but many are faced with having their benefits frozen for the fourth year in a row (Photo: Shutterstock)The changes have seen state pensions rise, but many are faced with having their benefits frozen for the fourth year in a row (Photo: Shutterstock)
The changes have seen state pensions rise, but many are faced with having their benefits frozen for the fourth year in a row (Photo: Shutterstock)

Millions of people will have seen their state benefits and pensions change yesterday, following an annual change to the system.

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While the changes have seen state pensions rise, many are faced with having their benefits frozen for the fourth year in a row.

What are the key changes?

Old state pensions will rise by £3.25 per week, taking the rate up to £129.20, while the new state pension has gone up by £4.25, increasing the rate to £168.60.

Disability Living Allowance, Personal Independence Payment and Carers' Allowance have also seen a rise of around 2.4 per cent.

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No changes were made to bereavement support, jobseekers' allowance or income support.

Additionally, millions of people will see their benefits remain frozen for the fourth year in a row.

Changes to Universal Credit

A major change to Universal Credit is the rise of the work allowance - the amount people are able to earn before benefits begin to taper - which has increased from £198 to £287 per month.

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For those do not receive housing costs, the rate will go up from £409 to £502 per month, amounting to a total rise of £1,000 annually.

This means that families on Universal Credit will now have up to £630 extra earnings over the course of the year.

However, only families with dependent children and those who are disabled get work allowances.

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Couple who do not have children, or whose children have now left home, will not benefit from the rise.

Old state pensions will rise by £3.25 per week, while the new state pension has gone up by £4.25 (Photo: Shutterstock)

Benefit and state pension rates

These are the changes to the following rates (listed per week, unless otherwise stated):

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Attendance allowance - now £87.65, up from £85.60Bereavement support payment - now £2,500 or £3,500 lump sum (frozen)Benefit cap - now £23,000 per year in London, or £20,000 outside (frozen)Carers' allowance - now £66.15, up from £64.60Disability Living Allowance - now £148.85 maximum, up from £145.35Employment and Support Allowance - now £73.10 basic for over-25s (frozen)ESA component for 'work-related activity' group - now £29.05 (frozen)ESA component for 'support' group - now £38.55, up from £37.65ESA severe disability premium - now £65.85, up from £64.30Housing benefit - now £73.10 for single people over 25, or £114.85 for couples over 18 (frozen)Jobseekers' allowance - now £73.10 for over-25s, or £57.90 under-25s (frozen)Maternity allowance - now £148.6, up from £145.18Statutory maternity/paternity leave pay - now £118.00, up from £116.00PIP daily living enhanced - now £87.65, up from £85.60PIP daily living standard - now £58.70, up from £57.30PIP mobility enhanced - now £61.20, up from £59.75PIP mobility standard - now £23.20, up from £22.65New State Pension - now £168.60, up from £164.35Old State Pension - now £129.20, up from £125.95Pension credit - now £167.25 minimum guarantee for a single person, up from £163.00

A full breakdown on the new rates from 8 April 2019 can be viewed here

This article originally appeared on our sister site, Edinburgh Evening News

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