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The frozen DWP and HMRC benefits that will go down in real terms for millions in 2026
The Universal Credit health element for new claimants will be halved and frozen from 2026, with housing support also frozen, causing real-terms income cuts, says Joseph Rowntree Foundation.
- From April 2026, the Department for Work and Pensions and HM Revenue & Customs will keep several key benefits frozen, producing a real-terms cut for Universal Credit claimants.
- Under the Universal Credit Act 2025, the UC standard allowance increases 4.8% above inflation by 2029/30, while additional health/disability payments for many new claimants are cut.
- New applicants for the Universal Credit health element will see their payments cut from £432.27 to £217.26 and frozen, while a protected cohort of existing LCWRA recipients and severe cases will have inflation-linked increases from 2026/27 to 2029/30.
- The housing freeze leaves private renters worse off, the Joseph Rowntree Foundation found, estimating they were around £700 worse off last year and charities warn 80,000 face poverty.
- The DWP will keep the Christmas Bonus at £10 despite a petition 'Adjust the £10 DWP Christmas Bonus,' with founder David Kirkwood saying it would be roughly £180 today, and critics calling it '£10 quite frankly is insulting.
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Oxford Mail+17 Reposted by 17 other sources
The frozen DWP and HMRC benefits that will go down in real terms for millions in 2026
The DWP and HMRC have confirmed that several payments will not increase in 2026, meaning they will not keep up with inflation, a real terms…
·Oxford, United Kingdom
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