Browsing the corporate and social media, you’d be forgiven for thinking chronically ill, disabled, and non-working people were as sunny as the current British weather. Because apparently, they’ve all got (to quote the Sun) a “pay rise”. Of course, in reality what the Department for Work and Pensions (DWP) has actually given them is a real-terms pay cut – not a benefits increase
DWP benefits increase – for who?
As BBC News reported, the DWP on the face of it has put in place a benefits increase:
The standard allowance of universal credit, the most common benefit, for a single person aged under 25 has gone up by £5.30 a month to about £317.
For a couple aged over 25, the rise is £10.50 to £628 a month.
Other benefits rising by 1.7% include all the main disability benefits, such as personal independence payment, attendance allowance and disability living allowance, as well as carer’s allowance.
However, is this really the case?
Of course it isn’t. As the House of Commons noted, “benefits increase lag behind real-time inflation figures, with the CPI rate of inflation rising by 2.8% in the 12 months to February 2025“. This is because the government sets the April DWP benefits increase at the rate of inflation (how much prices of things increase by) from the previous September. So, in the six months between those two points anything can happen with inflation; it actually just has, and often does, too.
The House of Commons showed that actually, chronically ill, disabled, and non-working people will be at least £4.68 a month worse off from today:
Moreover, with so many other bills having just gone up – the benefits increases are more than cancelled out.
Awful April hitting benefit claimants the hardest
As the Canary previously reported, from 1 April households saw a noticeable hike in several key areas:
Energy Costs: The energy price cap, regulated by Ofgem, has increased, which translates to an added £9.25 monthly, or £111 annually, for the average household relying on direct debit payments. The cost of gas has surged from 6.34 pence per kilowatt-hour to 6.99 pence, while electricity has jumped from 24.86 pence to 27.03 pence per kilowatt-hour. With energy bills already reaching an average of £1,738, these increases will contribute significantly to the financial strain many families face.
Or, as Dr Jay Watts put it regarding the benefits increase:
Disability benefits are generous in the UK, are they?
This week: PIP daily living rose by £1.25 (standard) or £1.85 (enhanced). That’s 1.7%.
Today: energy bills rose 6.4%.
That’s not generosity. It’s abandonment.#DisabilityBenefits #WelfareNotWorkfare— Dr Jay Watts (@Shrink_at_Large) April 1, 2025
Water Bills: In what has been described as “extortionate” by concerned advocacy groups, households across England and Wales can expect their water bills to increase by an average of £86 in just the next year—a staggering rise of 20%. Companies like Southern Water and Severn Trent will see increases soaring upwards of 47%, pushing many families deeper into financial difficulty.
Council Tax: The anticipated surge in council tax will leave millions of households grappling with an increase. The projected new annual figure for a typical Band D property is set to reach £2,280. All councils across Merseyside, for instance, are imposing the maximum allowed increase. Families are encouraged to investigate any available support options from their local councils to help mitigate this financial hit.
It continues…
Mobile and Broadband: Added to the financial burden, broadband and mobile contracts are also seeing price hikes, with average increases of £21.99 and £15.90 respectively. Households that are locked into inflation-link contracts could be particularly affected, witnessing bills rise significantly without warning. There are suggestions that consumers should actively check their contracts to explore potential savings through switching providers.
TV Licence Fee: In today’s increases, the standard price of a TV licence has risen by £5 to £174.50, further impacting household budgets. It remains crucial for eligible claimants, particularly those over the age of 75, to remember that they can still apply for exemptions under specific conditions, ensuring they do not miss out on necessary financial support.
Car Tax: Lastly, an increase in car tax adds to the woes. New standard rate taxes for cars registered post-April 2017 will go up by £5, while owners of electric vehicles will no longer enjoy exemption from car tax. This is a notable shift, especially for those who switched to electric cars with the promise of being free from tax burdens.
Benefits increase. What benefits increase?
Citizens Advice has issued a stark warning, stating that even prior to these changes, individuals and families with the lowest incomes were already spending around 41% of their earnings on essential bills including water, energy, broadband, and car insurance.
In contrast, those in the middle-income bracket were spending only 11%, and the wealthiest households a mere 5%.
So, no – a 1.7% benefits increase is not going to make any difference to anyone claiming these – regardless of what the corporate media say.
Featured image via the Canary
