Another change that’s flying under the radar: the payment cycle is shifting for some claimants. Currently, you get your money every month, usually in arrears. In April 2026, the system will start paying twice a month—a “fortnightly” model for new claims. This is supposed to help with budgeting, but it’s actually a logistical nightmare for people on zero-hours contracts.
Why? Because Universal Credit is calculated based on your reported earnings over a calendar month. If your payment period is now two weeks, but your income is still reported monthly, you’ll get misaligned payments that bounce up and down like a yo-yo. It’s like trying to fit a square peg into a round hole, except the hole is on fire.
What Happens to Savings and Investments?
You remember the old capital limit, right? If you had over £16,000 in savings, you couldn’t claim. In April 2026, that limit is increasing to £20,000. That’s… actually good news. (I know, I’m shocked too.)
But here’s the side-eye moment: the tariff income—the amount they assume your savings earn you each month—is going up from £4.35 per £250 to £5.00 per £250. So you can have more savings, but every pound in the bank will cost you a bit more in deductions. It’s like being invited to a party, but the cover charge keeps rising.
And if you’re thinking, “Great, I’ll just spend my savings down,” remember that deprivation of capital rules are being tightened. If you give away money to qualify, they’ll count it as if you still have it. So no, that “gift” to your cousin in Peru won’t fly.
