Millions to get £600 cash boost next year in Autumn Statement announcement

Jeremy Hunt has revealed there will be an increase to benefit payments in line with inflation

Millions of households across the country who claim state benefits will get up to £600 in payment increases next year.

The Chancellor of the Exchequer, Jeremy Hunt, announced an increase to benefits and allowances in his Autumn Statement on Wednesday November 22.

The move will see welfare payments boosted in line with inflation, meaning a welcome rise to annual incomes for people on Universal Credit and other DWP benefits, making the average family around £600 a year better off when increases to typical payments are taken in to account.

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How much will my Universal Credit increase?

Following today's Statement, the Treasury said that increases to benefits would 'see 5.5 million households on Universal Credit gaining £470 on average in 2024-25, in addition to the government’s other cost of living support'.

There are in excess of 5 million people claiming Universal Credit, and at the present time, the standard payment for single claimants who are over 25 is £368.74 a month.

The benefit - along with many others - is set to increase by 6.7% from April 2024, in line with this September's inflation rate.

However, it should be noted that the exact amount households will get in benefit payments will vary depending on their individual circumstances.

What other benefits are going up?

Jeremy Hunt confirmed in today's Autumn Statement that other benefits would also increase by 6.7 per cent, in line with September's inflation figure next year.

Additionally, the state pension rate will increase by 8.5% from April 2024, to £220.20, which is worth up to £900 more a year.

The living wage will rise, going up to £11.44 from April next year.

Overhaul of the welfare system

Mr Hunt also made a big announcement about radical changes to the benefits system and Universal Credit, including how long people will be able to stay on it for, and the much stricter sanctions they will face if they refuse to find work.

The British economy has so much potential, and now inflation has halved, we can move on to the next stage of our economic plan - unleashing it. pic.twitter.com/srKZuVcnmj

— Jeremy Hunt (@Jeremy_Hunt) November 21, 2023

Other Autumn Statement announcements

Increase to National Living wage

The Chancellor confirmed that the Government will increase in the national living wage from £10.42 per hour to £11.44 per from April 2024, with the figure now extended to cover those in employment aged 21 and over, rather than just workers of 23 and over.

Meanwhile, younger workers between 18-20 will get a raise of £1.11 an hour, taking their minimum hour payment to £8.60.

The change means that a full-time worker on the living wage can expect an annual pay rise of £1,800 next year.

'Economy back on track'

Mr Hunt said that the economy is now 'back on track' following the Cost of Living crisis, and announced plans for a push for business growth ahead of next year’s election.

The National Living Wage is set to rise to £11.44 from April 2024.

The new rate will also be extended to 21 & 22 year olds for the first time.

This is a pay boost to millions, worth over £1,800 a year for a full time worker. pic.twitter.com/Hr8rP3iSfn

— HM Treasury (@hmtreasury) November 21, 2023

Can I watch the Autumn Statement on catch up?

You can watch a re-run of the Autumn Statement on Parliament's YouTube channel.

More DWP benefit help and news

See Netmums' dedicated Cost of Living hub where you will find all the latest stories and news releases from the DWP and other organisations, enabling you to stay up-to-date on all the DWP benefits and allowances you could quality for.

It also has lots of top tips and advice from those in the know like the Money Saving Expert, Martin Lewis, as well as brilliant ideas for saving money on everything from your weekly shop to that well-deserved holiday.

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