Universal Credit
Estimator 2025/26

The UC standard allowance for 2025/26 is £311.68/month for a single claimant under 25, £393.45/month for a single claimant aged 25 or over, £489.23/month for couples where both are under 25, and £617.60/month for couples where at least one person is 25 or over. These increased by 1.7% in April 2025.

For every £1 you earn above your Work Allowance, your UC is reduced by 55p. So you keep 45p of each pound earned above the threshold. This means work always pays — you are always better off earning more. The taper rate has been 55% since 2021.

The work allowance is the amount you can earn before UC starts reducing. For 2025/26 it is £404/month if you receive a housing element, or £673/month if you do not receive a housing element. Not all claimants have a work allowance — you must have at least one dependent child or have limited capability for work.

Yes. Universal Credit is designed to top up low incomes. You can claim UC whether you are in or out of work. Your award reduces gradually as your earnings rise through the taper. There is no strict earnings limit — UC simply reduces to zero once your income is high enough.