Payment dates for state pension and Universal Credit change before holidays

In the United Kingdom, millions of individuals receiving state pensions, Universal Credit, and various other benefits will experience modifications in their payment dates during the Christmas and New Year period. This change has been implemented by the Department for Work and Pensions (DWP), HM Revenue and Customs (HMRC), and Social Security Scotland to ensure that families receive their necessary funds in advance of the festive bank holidays. As the cost-of-living crisis persists and energy bills continue to soar, these adjustments aim to ease financial burdens for vulnerable populations during a critical time of the year. Payments traditionally scheduled for Bank Holidays will now arrive earlier than expected. Specifically, those who are set to receive payments on December 25, 26, or 27 will have their funds deposited in their bank accounts on December 24, which is the last working day before Christmas. Similarly, payments scheduled for New Year's Day will be made on December 31, the last working day preceding the New Year holiday. This initiative reflects the government’s awareness of the pressures faced by families during the festive season and underscores its commitment to supporting those most in need. The DWP indicated that a total of 11 different benefits will be affected by these changes, including Attendance Allowance, Carer’s Allowance, Disability Living Allowance, Income Support, Jobseeker's Allowance, Pension Credit, Personal Independence Payments (PIP), State Pension, Universal Credit, Child Benefit, and Tax Credits. However, it is noteworthy that Child Benefit payments will not be impacted by the holiday payment schedule since these benefits are issued only on Mondays and Tuesdays. This decision ensures that recipients of Child Benefit can rely on their regular payment schedule without disruption over the festive period. In addition to the changes in payment dates, there will be an increase in Universal Credit and other benefits by 1.7 percent next year, in alignment with inflation figures from September. This increase will benefit individuals with limited capability for work, whose monthly payments will rise from £809.64 to £823.41. These adjustments not only reflect the government’s consideration of rising living costs but also signify a proactive approach to ameliorate financial challenges faced by numerous individuals and families throughout the UK during this economically sensitive time.