The Department for Work and Pensions (DWP) has confirmed that some Universal Credit claimants will see their payments reduced by £53 per week under new rules. The limited capacity for work and work-related activity (LCWRA) amount will now be paid at two different rates, with the lower rate applying to most new claimants.
Two-Tier Payment System
From April 6, 2026, the LCWRA amount will be split into a higher rate of £429.80 per month and a lower rate of £217.26 per month. This represents a difference of £212 per month, or £53 per week. The lower rate will be frozen until April 2030, effectively reducing its value further over time.
Who Gets the Lower Rate?
New claimants who declare a health condition or disability on or after April 6, 2026, will receive the lower amount unless they meet specific exceptions. These exceptions include having a severe, lifelong health condition, being near the end of life, or having a partner entitled to the higher LCWRA amount.
Protected Groups
The higher rate will apply to those already entitled to the LCWRA amount by April 6, 2026, and to certain protected groups. These include individuals nearing the end of life under special rules or those meeting severe conditions criteria. The higher rate will be uprated annually with inflation and will not be frozen.
Severe Conditions Criteria
To qualify for the higher rate under severe conditions, claimants must have been assessed as having limited capability for work-related activity and have at least one descriptor that applies constantly for the rest of their life. This inability must arise from a specific disease or disablement diagnosed by a qualified healthcare professional.
Disability Rights UK advises that those already receiving the higher rate can continue to do so as long as they remain assessed as having limited capability for work-related activity.
