New official statistics have revealed a dramatic surge in the number of people claiming Universal Credit, painting a stark picture of the UK's welfare landscape. The total number of claimants has jumped by over a million in just twelve months.
Record Numbers on Universal Credit
The latest data from the Department for Work and Pensions (DWP) shows that 8.3 million people were on Universal Credit in October. This marks a significant increase from the 7.2 million recorded at the same time last year, representing a rise of 1.1 million individuals.
This is the largest annual increase in the total number of claimants since the peak of the COVID-19 pandemic in the twelve months to April 2021. Universal Credit is a payment designed to assist with living costs and is available both for those out of work and for people in work who are on low incomes.
The Rise of Claimants With No Work Requirements
A particularly sharp rise has been observed in the number of people claiming UC who fall into the "no work requirements" category. This group has grown to 4 million people in October, up from 2.9 million a year ago.
This category now constitutes 48.7% of all claimants. It includes individuals in full-time education, those over the state pension age, carers for a child under one, and people who are assessed as having no immediate prospect of work.
For other claimants, receiving the benefit is conditional on meeting work-related activities, such as actively searching for employment or attending interviews to facilitate a return to work. The number of people in the 'searching for work' category was 1.6 million in October, while the number of working people who also claim UC stood at 2.2 million.
Government Response and Broader Economic Context
The government has stated that it inherited a broken welfare system and is now pursuing what it calls the "most ambitious employment reforms in a generation." These reforms include modernising jobcentres and tightening the rules on who is eligible to claim Universal Credit.
A DWP spokesperson commented, "The number of people receiving universal credit has been increasing as we have invited tens of thousands of people each month to move from legacy benefits as they become phased out. We're determined to get more people off welfare and into work."
This new data on the swelling welfare rolls coincides with the announcement that the unemployment rate has risen to 5% in the three months to September. This is the highest jobless rate the UK has seen since the pandemic year of 2020.
In a breakdown of claimants by immigration status, the DWP confirmed that the vast majority, 84.3%, were British and Irish nationals or individuals living in the UK without immigration restrictions. Of these, 99.9% were UK citizens.