Universal Credit

(asked on 17th December 2018) - View Source

Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, what support his Department provides to claimants of universal credit that have been paid twice in one assessment period while in receipt of sick pay.


Answered by
Alok Sharma Portrait
Alok Sharma
COP26 President (Cabinet Office)
This question was answered on 20th December 2018

Universal Credit has been designed to take earnings into account in a way that is fair and transparent. The assessment period and payment structure of Universal Credit is crucial in creating and maintaining the strong work incentives at the heart of Universal Credit and provides the flexibility to adjust when claimants move in and out of work regularly.

The amount of Universal Credit paid to claimants reflects, as closely as possible, the actual circumstances of a household during each monthly assessment period. This includes any earnings reported by the claimant’s employer during that assessment period, regardless of when they were paid. Monthly assessment periods align to the way the majority of employees are paid and also allows Universal Credit to be adjusted each month. This means that if a claimant’s income falls, they will not have to wait several months for a rise in their Universal Credit.

Some claimants are paid in differing patterns, including four-weekly, fortnightly, weekly or on a variable day every month. This may mean that for some months these claimants receive two or more sets of earnings during one Universal Credit assessment period (AP). This may reduce, or in some cases completely reduce the Universal Credit award that the claimant receives that month.

Where people have potential income volatility because of their payment cycles, they can discuss the implications of this with their case managers and work coaches and can be referred to Personal Budgeting Support to help them manage their budgeting.

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