Universal Credit Claimants Changes

23rd September 2022

Increase to Administrative Earnings Threshold (AET) - The government is increasing support and incentives for those on Universal Credit (UC) across Great Britain by increasing the Administrative Earnings Threshold to 15 hours a week at National Living Wage for an individual claimant (and 24 hours a week for couples) from January 2023.

This builds on the increase due to come into effect from 26 September 2022 which will raise the threshold from 9 hours
a week to 12 hours a week for an individual (and 19 hours a week for couples).

This latest change means that around 120,000 more UC claimants who are in work on low earnings will be moved from the Light Touch labour market regime to the Intensive Work Search labour market regime.

They will be expected to actively search for work and attend weekly or fortnightly appointments at a jobcentre in order to secure more or better paid work, or they could have their benefits reduced. These changes will apply across Great Britain.

In line with usual practice, the government will work with the Northern Ireland Civil Service to determine the most suitable arrangements for Northern Ireland in due course.

Strengthening the Universal Credit (UC) sanctions regime - Alongside these changes to the AET, the government will be strengthening the sanctions regime to set clear work expectations – including applying for jobs, attending interviews or increasing the hours – in return for receiving UC. Claimants who do not fulfil their job-search commitment without good reason could have their benefits reduced.

These changes will apply across Great Britain.

In line with usual practice, the government will work with the Northern Ireland Civil Service to determine the most suitable arrangements for Northern Ireland in due course.