Individuals receiving certain government benefits may qualify for a one-off payment of up to £812 from the Department for Work and Pensions (DWP) to assist with unexpected costs. The initiative aims to support those who are facing financial difficulties and need help to cover emergency expenses.
The DWP can provide a Budgeting Advance, which is designed to help with urgent household costs. This could include expenses such as replacing a broken cooker, costs associated with starting or staying in employment, or even funeral expenses. The amount received will depend on individual circumstances, with minimum payments starting at £100. The maximum available is £812 for those with children, while single applicants may receive £348 and couples £464.
Eligibility Criteria for Budgeting Advance
To qualify for this financial assistance, applicants need to meet specific criteria. You must have received one of the following benefits for at least six months: Universal Credit, Employment and Support Allowance, Income Support, Jobseeker’s Allowance, or State Pension Credit. Additionally, you must demonstrate a need for the funds to either start a new job or maintain employment.
Certain restrictions apply: if you have earned more than £2,600 (or £3,600 for couples) in the past six months, or if you have not yet repaid a previous Budgeting Advance, you will not be eligible for this support. Importantly, individuals can only have one Budgeting Advance at any given time.
Repayment and Application Process
The repayment of the Budgeting Advance will occur through your benefit payments. Typically, repayments are structured over 24 months, beginning with your next benefit payment. For instance, if you receive an advance of £240, you would repay this amount at a rate of £10 per month.
If you encounter difficulties in repaying the advance, you can request a change in the repayment amount.
To apply for a Budgeting Advance, you can update your journal in your Universal Credit account, speak with a Universal Credit contact at your local jobcentre or work coach, or call the Universal Credit helpline at 0800 328 5644. The helpline operates Monday to Friday, from 08:00 to 18:00.
More information is available on the DWP website, which provides further details about the application process and eligibility requirements. This assistance reflects the government’s commitment to support those in need, especially during challenging times.
