DWP’s £7.5 Billion Unclaimed Funds: Millions of people in the UK are still deprived of the financial support they are entitled to. The Department for Work and Pensions (DWP) leaves about £7.5 billion, or more than Rs 75 billion, in such unspent funds every year. The biggest part of this is Universal Credit.
If you are eligible, you can claim up to £1,000 every month. Unfortunately, due to lack of information, complexity of the process and social beliefs, people are not able to take advantage of this assistance.
In this article, we will give you complete information – whether you are eligible for it, how much money can be received and how you can claim this fund.
Details of the DWP’s £7.5 billion unreimbursed fund
- Potential monthly claim Up to £1,000 (depending on your circumstances)
- Total amount of unreimbursed benefits £7.5 billion per year
- Eligibility criteria Low income, disability, housing costs, children
- Application process Apply online via the official Gov.uk website
- Extra help Additional amounts for family, disability and housing costs
Universal Credit is an umbrella term given to a scheme of financial support by the British Government; it is to help people who are out of work or on a low income.It consolidates the following old benefits:
Jobseeker’s Allowance
- Employment and Support Allowance
- Housing Benefit
- Income Support
- Working Tax Credit
- Child Tax Credit
For all these, we now have Universal Credit which amounts to a single monthly payout.
It’s possible you could be eligible for Universal Credit if one of the conditions below applies to you.
- You must be 18 or over but under pension age.
- You must be living in the UK.
- You must have savings of less than £16,000.
- You must be on a low income or unemployed.
- You must be able to work or working but your income is below a certain limit.
If you’re employed, you may still be eligible because of other circumstances such as high housing costs or childcare.
How much money can you get?
The amount of money you’re paid in Universal Credit depends on a number of factors:
- Standard Allowance
- Single person (aged 25 or over): £393.45 per month
- Married/cohabiting couple (both aged 25 or over): £594.04 per month
Child Addition
First child: £278.77 per month
Each additional child: £237.08 per month
Disability Premium
If there’s a disabled person in the household, there’s an additional payment, such as:
Limited Capability for Work and Work-Related Activity (LCWRA) etc.
Housing Costs: If you rent, part of it may be covered by the DWP.
Childcare Costs: The DWP can cover up to 85% of your eligible childcare costs.
For example, if you are single, under 25, have no children and rent, you can get £393.45 + housing allowance + other eligible support.
Why do so many people miss out on benefits?
According to 2023 figures, around 1.2 million households were not claiming Universal Credit despite being eligible for it.
There are several reasons behind this:
- Lack of information: many people don’t know they are eligible.
- Social shame: there are misconceptions in society about receiving benefits.
- Complicated application process: filling out online forms and documents is difficult for many people.
- Confusion about eligibility: some people believe that if they are working part-time they will not be eligible, which is wrong.
How to apply for Universal Credit?
- Create an online account
- Go to the Gov.uk website and create an account.
- Provide information
Provide the following information:
- Income
- Savings or investments
- Housing status
- Health status (if applicable)
- Work coach appointment
- After submitting your application you will have an appointment with a work coach.
- Wait for a decision
- The DWP will check your eligibility and tell you whether you will get Universal Credit.
- Get paid
If the application is successful you will receive a payment into your bank account each month.
Other financial support options
Apart from Universal Credit, you may also be eligible for these benefits:
- Pension Credit extra financial support after pension age.
- Carer’s Allowance if you care for someone.
- Disability Benefits benefits such as PIP, DLA, AA.
- Housing Benefit help with the cost of rent.
- Free School Meals free school meals for children.
Conclusion
If you live in the UK and are struggling financially, Universal Credit could be a vital support. Around £7.5 billion goes unclaimed each year — this money could be yours Check if you’re eligible today Apply and benefit from financial help With the right information, at the right time, you could receive up to £1,000 in support each month!
FAQs
Q1. How much could I potentially claim through Universal Credit?
A. You could potentially claim up to £1,000 per month, depending on your personal and financial circumstances, such as income, housing costs, family size, and disability status.
Q5. How long does it take to receive the first payment?
A. It usually takes about five weeks to receive your first payment. If needed, you can request an advance payment to cover this initial waiting period.
Q6. Can I still claim Universal Credit if I am working?
A. Yes, you can. Universal Credit is designed to top up low earnings. Your benefit amount will adjust based on how much you earn.
Q4. What if I am self-employed — can I still apply?
A. Yes. Self-employed individuals can claim Universal Credit but must regularly report their earnings. Payments will be calculated accordingly.
Q5. What happens if my circumstances change?
A. If your income, housing, family situation, or health changes, you must update your information with DWP promptly. Failing to do so could result in overpayments or underpayments.
