The annual update to benefit rates from the Department for Work and Pensions affects everything from Universal Credit to maternity payments and disability support.

For families already facing rising childcare costs and household bills, the increases could provide some extra support throughout the year.

Here are some of the key benefit payments increasing in 2026 that parents should know about.

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Universal Credit increases for families

Millions of households claim Universal Credit, and several elements of the payment are rising in the 2026 financial year.

Standard monthly allowance

• Single under 25: £338.58 (up from £316.98)
• Single aged 25+: £424.90 (up from £400.14)
• Couple (one or both 25+): £666.97 (up from £628.10)

Child payments

Families can receive additional support for children:

• First child (born before April 2017): £351.88 per month
• Other children: £303.94 per month

Disabled child additions

Extra support for families caring for disabled children also rises:

• Lower rate: £164.79
• Higher rate: £514.71

Childcare support

One of the most important payments for working parents is help with childcare costs:

• Maximum for one child: £1,071.09 per month
• Maximum for two or more children: £1,836.16 per month

This support covers up to 85% of eligible childcare costs for working families.

Maternity and parental payments rising

Several payments supporting new parents are also increasing.

Statutory Maternity Pay

• Weekly rate: £194.32 (up from £187.18)

Statutory Paternity Pay

• Weekly rate: £194.32

Statutory Shared Parental Pay

• Weekly rate: £194.32

Maternity Allowance

• Weekly payment rises to £194.32

To qualify for most statutory parental payments, workers must earn at least £129 per week .

Carer payments increasing

Parents who care for a disabled child or family member may qualify for Carer’s Allowance.

• Weekly payment increases to £86.45 (up from £83.30)

The weekly earnings limit for carers also rises to £204 , allowing carers to earn slightly more while keeping their benefit.

Disability benefits families rely on

Families caring for disabled children could also see increases in disability-related payments.

Disability Living Allowance

Care component:

• Highest rate: £114.60
• Middle rate: £76.70
• Lowest rate: £30.30

Mobility component:

• Higher rate: £80.00
• Lower rate: £30.30

Personal Independence Payment

Daily living component:

• Enhanced: £114.60
• Standard: £76.70

Mobility component:

• Enhanced: £80.00
• Standard: £30.30

Attendance Allowance increase

Older relatives living with families may qualify for Attendance Allowance.

New weekly rates:

• Higher rate: £114.60
• Lower rate: £76.70

Two-child benefit cap set to be lifted

Another major change affecting families is the planned removal of the two-child benefit cap, a policy that currently limits additional support in Universal Credit and Child Tax Credit to the first two children in most households.

The cap was introduced during the Conservative government in 2017 and means families generally cannot claim additional support for a third or subsequent child born after April that year.

The Government now plans to scrap the policy, a move ministers say could help hundreds of thousands of children.

According to estimates cited by the Treasury, around half a million children could be lifted out of poverty once the cap is removed.

Speaking during her Spring Statement this week, Rachel Reeves said the decision reflected a wider economic strategy aimed at supporting families.

She described scrapping the policy as “a moral choice.”

“The Conservatives and Reform UK are united in their intention to plunge nearly half a million children back into poverty,” Reeves told MPs.

“The Tories have said they would reinstate that destructive policy and now Reform are saying exactly the same thing.

“Two parties united in their intention to plunge nearly half a million children back into poverty in a single stroke.”

Benefits that will not increase

Some limits affecting families will remain unchanged.

For example, the benefit cap - the maximum total benefits a household can receive - stays the same.

Outside London:

• £22,020 per year for couples or single parents with children
• £14,753 per year for single adults without children

Within Greater London the cap is higher at £25,323 .

The annual uprating is designed to help benefits keep pace with inflation.

For many families, particularly those relying on childcare support or disability benefits, the increases could mean hundreds of pounds more per year.

However, eligibility rules and household income still determine how much support families receive.

Experts recommend that parents regularly check their eligibility or update their information with the Department for Work and Pensions to ensure they receive the correct payments.