Summary
Benefits and pensions in the UK are increasing as the new financial year begins. The two-child benefit cap has been removed, allowing larger families to receive more financial support. Other benefits and the state pension rates are also rising due to cost of living increases.
Key Facts
- The two-child benefit cap in the UK has ended, helping about 480,000 families with three or more children.
- Families affected by the change will receive an average annual increase of £4,100.
- Universal credit's child element will rise from May, adding nearly £300 a month per child for some.
- The state pension is increasing by 4.8%, adjusting for average wage growth.
- Disability and carer's benefits have increased by 3.8% with inflation.
- The eligibility age for state pensions is gradually increasing from 66 to 67.
- Other financial changes include updates to inheritance taxes and tax reliefs, while income tax thresholds remain frozen.
