Good afternoon

The April 2026 Benefits Uprating and rental charge increases will impact your tenants’ UC personal and “housing costs” entitlement. “Working age” (now under 67) tenants, receiving Universal Credit, will see an increase of around 10% on their Standard Allowance, and 6% on other elements (e.g., child, disability, carers) of their award. I provide more detail in an earlier bulletin

A question I’m often asked is – “When can tenants expect to receive the increased awards of UC personal allowances and housing costs?”

This is not straightforward, as UC is paid calendar monthly, based on each tenant’s Benefit Assessment Period (BAP). However, I’ve provided below some illustrations of how this should work.

  • Tenant A claims UC and has a benefit assessment period (BAP) running from 15th March to 14th April, normally paid 7 days later, on 21st
  • The Normal rule is, when a change in circumstances occurs (e.g. child is born, starts new job, experiences a higher salary, moves address, adds a partner) the change takes effect from the first day – 15th March, so any increase/reduction in his/her award would apply from the full period 15th March -14th April. This is what is commonly referred to as the “Whole month rule”.
  • However, for changes relating to the annual benefits uprating order, the increase to the tenant’s personal allowance, child additions, etc., takes effect on the first BAP, starting on or after 6th April this year. So, if the tenant’s BAP starts on the 6th, the new award will cover 6th April – 5th May, with payment made on the 12th of May. A BAP starting on the 10th of April would receive the increase on the 16th of May, and so on.
  • Whereas, claimants with BAPS starting on 1st– 5th April will need to wait until the start of their next BAP before they realise the higher award. So, using the 1st as an example, that claimant’s higher award will be based on their BAP – 1st May – 30th May, paid on 6th June!

In contrast, annual rent & service charge increases notified by Social Landlords, taking effect from April, 2026, are applied under the general rule, i.e., effective from the 1st day of the BAP in which the change occurs. Tenants should be able to report the change via their UC journal, during the period of the BAP, not after the 1st, or date of increase, as DWP suggests.

DWP’s approach is at odds with the legislation. It insists on tenants completing a “to-do” – ‘Confirm your housing costs’ – once it appears in their journal. SRS landlords are expected to validate each tenant’s notification. Failure to comply with that process can often lead to the “housing costs element” not being uprated, creating rent arrears. More details on what’s expected from the SRS tenant and landlords can be found Social rented sector Landlord Portal – GOV.UK

Because LHA changes are subject to the Rent Officer’s order, the example relating to Tenant A above would apply to both his personal and “housing costs element”. So, when private tenants have a BAP starting between the 1st and 5th, they will have to wait until 5th-12th June before they receive their first payment at the uprated benefit rates for 2026/27. As the LHA rates remain frozen at 2024 rates, there will be no increases in respect of LHA for private tenants, so any increases in rent imposed by the landlord will be capped in terms of UC.

I hope all this makes sense to you. If it doesn’t, drop me an email or phone me on 07733 080 389 and I’ll explain.

Regards

Bill Irvine

UC Advice & Advocacy Ltd

www.ucadvice.co.uk