Back to news listing

Next article

NEWS: Universal Credit updates from October 2019

Universal Credit is a benefit available to those who are out of work or on a low income. It combines six different benefits; Child Tax Credit, Housing Benefit, Income Support, Income-based Jobseeker's Allowance (JSA), Income-related Employment and Support Allowance (ESA) and Working Tax Credit; into one monthly payment. 

From October, there are two key changes taking place, one to childcare payments and the other to the amount that can be deducted from payments.

  • From this month the maximum amount that can be deducted from Universal Credit payments is being reduced from 40 to 30 per cent.
    • This means that those currently on the 40 per cent rate may start to see more money coming in every month. 
    • However, those who repay their advance payment will not see a change, as their repayment threshold will remain at around 15 per cent which must be paid back within 12 months. 
  • From 19 October 2019, parents are going to be given an additional month (previously just one month) to claim back up to 85 per cent of eligible childcare costs.
    • This refund is a maximum of £646.35 a month for one child, or £1,108.04 a month for two or more children.

Find more support on Universal Credit over on Childcare Choices. If you are a childminder and think you could be eligible for universal credit, the rules are the same as for all self-employed people, find out more information on GOV.UK