All the Universal Credit new rules and changes you need to know including job offer deadlines and rate rises
BENEFIT claimants saw plenty of changes to how they access state support including Universal Credit last year but there are plenty of new rules and tweaks in the months ahead.
See how the latest benefits shakeup could affect you and your money in in 2022.
There was already a major change to Universal Credit for nearly 2million Brits who were also in work in 2021.
The taper rate affecting how much you have to pay back over the work allowance has been slashed, meaning workers can keep more of what they earn.
Chancellor Rishi Sunak announced changes to the taper rate at the end of 2021.
He said working Brits claiming the benefit will lose 55p for every £1 earned above the allowance instead of 63p.
The work allowance that claimants can earn before the taper rate kicks in was also increased.
The monthly work allowance for Universal Credit claimants receiving housing support rose by £42 to £335, while others saw a rise from £515 to £557.
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There are plenty of changes in the coming months as well.
Here is what you need to know.
Tougher job offer rules for benefit claimants
The length of time people will be given to accept a job offer was cut this month.
Previously, benefits claimants could spend three months specifically trying to get a role that they have experience for.
But that was slashed to four weeks on February 8, after which time claimants will be expected to accept alternative offers of employment.
Those who refused offers could have their benefits cut.
Exemptions for terminally ill claimants
From February 15, terminally ill claimants will not have to demonstrate that they're taking certain measures in order to get their Universal Credit payments.
They will be automatically exempt from having to look for work in order to keep the benefit.
Claimants in the final year of their lives will have their applications prioritised.
Previously, those rules were only in place for people with six months or less to live.
Employment Support Allowance (ESA) claims - March 2022
You may be eligible for ESA if you are under State Pension age and have a disability or health condition that affects how much you can work.
People who are ill or disabled can apply for ESA help, and could get up to £74.70 a week.
The government made tweaks to the benefit at the start of the pandemic to allow those eligible to make a claim from the first day they were absent from work - instead of the usual eighth.
This rule will be kept in place until March 24, 2022.
You need to have worked either as a self-employed worker or as an employee to be eligible, and you can't get ESA if you claim Jobseeker's Allowance or Statutory Sick Pay.
Child benefit and tax credit account closures - April 2022
Thousands of child benefit or tax credit claimants get the money paid into a Post Office Account.
But this will no longer be possible from April 2022.
The accounts are closing and you will need to arrange to get the money paid into a different account before then.
The accounts were due to close last year, but thousands of Brits have been given longer to sort out the pay arrangements.
You can check out what you need to do if you're affected in our guide.
Surplus earnings threshold - April 2022
Universal Credit claimants will continue to get the higher surplus earnings threshold of £2,500 until April 2022.
After this time, it will be reduced to £300.
Surplus earnings are taken into account in your next monthly assessment period for Universal Credit.
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For example, if your monthly earnings are more than £2,500 over where your payment stopped - the current threshold - this becomes "surplus earnings".
These surplus earnings are then carried forward to the following month, where they count towards your earnings.
If your regular income and surplus earnings are then still over the amount where your payment stops, your Universal Credit payment will be affected.
The extension of the higher earnings threshold was confirmed by Chancellor Rishi Sunak in his March 2021 Budget.
Benefit rate rise - April 2022
Many benefit are set to rise in the new tax year from April.
The government announced an annual increase to benefits of 3.1% last year and it will apply to Universal Credit, child benefit and more.
That means you could get more money paid from April.
For example the Universal Credit standard allowance will rise by £10.07 a month from £257.33 to £265.31 for those single and aged 25 and over.
You can check out all the new rates for Universal Credit rates here.
The State Pension will also increase by 3.1%, making claimants almost £300 a year better off.
It will be £185.15 per week for those on the full rate of the new state pension and £141.85 for people claiming the old basic state pension.
The amount of state pension you get depends on your age, when you retired and your record of National Insurance contributions (NICs).
You can check out the new state pension rates here.
Anyone getting housing benefit and allowances for looking after others will get more money too.
Check out the full list of benefit rates rising from April and how much more you'll get.
Minimum wage rise and National Insurance increase - April 2022
Workers may also see a boost to their salary.
The minimum wage is set to rise for millions of Brits in April.
The legal minimum for those aged over 23 (known as the National Living Wage) will increase to £9.50.
For those under 23, the rates for the National Minimum Wage will also rise, but by how much depends on your age.
Any wage increases could be affected by a 1.25 percentage point increase in National Insurance rates to cover a social are levy.
So you could be paying more tax too.
Check with your work coach about what impact extra pay could have on your benefits.
A pay rise could affect the benefits you get if they are based on your income, so it's worth checking what you get and if there are any changes.
Universal Credit and state pension payments - November 2022
Post Office accounts will close in November for anyone receiving payments from the Department for Work and Pensions (DWP).
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This includes payments such as Universal Credit and the state pension.
The accounts had been due to close in 2021, but its' been extended to give people more time to find alternatives.
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