Question to the Department for Work and Pensions:

To ask His Majesty's Government whether they have assessed the impact on the living standards of different groups of people in receipt of Universal Credit resulting from the difference between the benefit uprating of 1.7 per cent from April 2025 and a higher inflation forecast for 2025–26.

The Secretary of State undertakes an annual review of benefits and pensions. The latest figure that the Secretary of State can use is the Consumer Price Index in the year to September to allow sufficient time for the required legislative and operational changes before new rates can be introduced at the start of the new financial year.

All benefit up-rating since April 1987 has been based on the increase in the relevant price inflation index in the 12 months to the previous September. Given the volumes involved (over 20 million customers), the technical and legislative requirements and the interdependencies across Government, it is not currently possible to undertake the up-rating exercise any later. There are no current plans for the Secretary of State to revisit these decisions.

At present, no estimate has been made of the impact on the living standards of different groups of people in receipt of Universal Credit resulting from the difference between the benefit uprating of 1.7 per cent from April 2025 and the inflation forecast for 2025-26.

The estimated number of individuals in families benefitting from the uprating of benefits in the financial year 2025/26 in each region of the UK and the UK overall can be found here Benefit uprating: estimated number and type of families and individuals in families benefitting from the uprating of benefits in financial year 2025 to 2026 - GOV.UK (www.gov.uk)