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DWP benefits may rise in April 2027 following inflation figures

Summarised from 2 outlets · Updated 21 Oct, 10:02 · Archive

DWP benefits including Universal Credit could increase from April 2027 after September inflation reached 3.5%.

DWP benefits including Universal Credit, Personal Independence Payment and Disability Living Allowance could increase from April 2027 following September CPI inflation of 3.5%. The exact amounts will be confirmed by the chancellor in the Autumn Budget next week, though the Department for Work and Pensions used September 2025 figures as the basis for this year's rise.

For most working-age benefits, uprating is usually linked directly to the CPI figure. However, Universal Credit is treated differently. The Universal Credit Act 2025 requires the Secretary of State to increase the standard allowance by at least the September CPI increase and then by a further amount on top, meaning many claimants could see rises of at least 3.9% plus additional increases.

State pensions are likely to see even higher increases, as they are governed by the Triple Lock pledge, which also considers average wage growth. Wages across the UK for May to July rose by 3.9%. Changes to the health element of Universal Credit and the benefit cap, which was frozen and may be again, could affect the total benefit some claimants receive.

DWP benefits may rise in April 2027 following inflation figures
Image: Worcester News

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In this story: Department for Work and Pensions · United Kingdom

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