Universal Credit: The £293 Per Child Boost & The Massive Policy Change Coming In 2026
Universal Credit claimants are set to see a significant uplift in their payments for the 2025/2026 financial year, with the highly discussed "£293 per child boost" figure being confirmed as the new monthly rate for the Child Element. This new rate, effective from April 2025, is part of the Department for Work and Pensions (DWP) annual uprating, designed to ensure benefits keep pace with inflation. However, while the new monthly figure is welcome news for families, an even more transformative policy change is on the horizon that will impact hundreds of thousands of households: the complete removal of the controversial two-child limit.
The latest information as of December 2025 confirms that the UK government is proceeding with the planned increases, offering much-needed financial relief to low-income families. This article breaks down the exact new rates, clarifies the £293 figure, and details the monumental shift coming in April 2026 that will reshape the Universal Credit system for larger families.
The New Universal Credit Child Element Rates (April 2025/2026)
The Universal Credit Child Element is an additional amount included in a claimant's monthly payment for each dependent child. All UK benefits, including Universal Credit, are uprated annually in line with the Consumer Prices Index (CPI) from the previous September. For the 2025/2026 financial year, the new rates reflect this uprating, meaning the "£293 boost" is not a one-off payment but the new, standard monthly allowance for the majority of children on a Universal Credit claim.
Here are the confirmed monthly rates for the Universal Credit Child Element, effective from April 2025:
- For a child born before 6 April 2017 (Higher Rate): The monthly rate will be approximately £338.43 (based on the new weekly rate of £78.10).
- For a child born on or after 6 April 2017 (Standard Rate): The monthly rate will be £292.81.
- Disabled Child Addition (Lower Rate): This additional element will be approximately £165.70 per month.
- Disabled Child Addition (Higher Rate): This additional element will be approximately £518.33 per month.
It is important to note that the headline figure of £293 is the rounded amount for the standard child element rate of £292.81. This represents the support for the first two children in a family, provided they were born after the cut-off date. This increase is a vital measure to combat the rising cost of living and provide essential financial support to those who need it most.
The £293 Figure Explained: New Monthly Rate, Not a 'Boost'
The term "£293 Universal Credit boost per child" has circulated widely in the media, but it can be misleading. It is not an extra bonus payment on top of the old rate; rather, it is the new, higher monthly amount for the Universal Credit Child Element for the second and subsequent children (or the first child if born after April 2017).
For example, a family claiming Universal Credit for two children, both born after April 2017, will receive two payments of £292.81, totalling £585.62 per month, plus their standard and housing elements. This increase is part of the government's commitment to ensuring that benefit payments reflect the current economic climate, helping families with the costs associated with raising children, such as food, clothing, and utilities.
The confusion surrounding the term "boost" often stems from political proposals or think-tank recommendations. For instance, the Fabian Society previously proposed a new "baby element" to Universal Credit, which would have added £293 a month for families with a child under one year old. While that specific proposal may not have been adopted, the figure itself has become strongly associated with welfare increases. The confirmed DWP uprating, however, is the actual, official change that claimants will see in their bank accounts from April 2025.
Massive Policy Shift: Scrapping the Two-Child Limit in April 2026
While the new monthly rates for 2025/2026 are significant, the most impactful change for families with three or more children is the confirmed decision to scrap the two-child limit on Universal Credit from April 2026. This policy, which has restricted the Child Element to the first two children for most claimants since 2017, is set to be completely removed.
What the Two-Child Limit Removal Means
The two-child limit policy has been a major source of financial hardship for larger families and a significant driver of child poverty. By restricting the Child Element, families were denied the monthly support for any third or subsequent child, creating a substantial income gap.
The removal of this limit from April 2026 means:
- Support for All Children: Families will be able to claim the full Child Element (the new £292.81 rate) for every dependent child, regardless of their birth order.
- Major Financial Uplift: For a family with three children, this change will mean an additional £292.81 per month. For a family with four children, it would be an extra £585.62 per month. This could lift hundreds of thousands of children out of poverty.
- End to 'Poverty Premium': The policy shift acknowledges the rising costs of raising children and provides a more equitable level of support across all family sizes. The government's decision, announced in November 2025, is considered a landmark moment in UK welfare policy.
Claimants with three or more children who were previously denied the Child Element for their third, fourth, or subsequent children should ensure their claim details are up-to-date with the DWP as the April 2026 implementation date approaches. The DWP will be responsible for applying this change automatically to existing claims.
Other Key Universal Credit Elements for 2025/2026
Beyond the Child Element, other components of Universal Credit are also seeing an uprating from April 2025. These elements are crucial for calculating a claimant's total monthly award and provide further financial support for various circumstances:
- Standard Allowance: The basic amount a claimant receives will also increase, providing a higher baseline for single claimants and couples.
- Work Allowance: This is the amount of money a claimant can earn before their Universal Credit payment starts to be reduced. The rates for claimants with children or a limited capability for work are also subject to review and uprating.
- Childcare Costs: The maximum amount that can be reimbursed for childcare costs has also been expanded in recent years, with maximums for one child reaching £1,071 and for two or more children hitting £1,836 monthly, easing pressures on working parents.
Claimants are strongly advised to check the official DWP and GOV.UK websites for the final, confirmed figures across all elements for the 2025/2026 financial year, as these figures are subject to final parliamentary approval.
Summary of Financial Support and Next Steps
The "£293 Universal Credit boost per child" is a welcome, though rounded, figure that represents the new standard monthly rate for the Child Element from April 2025. This increase is part of the annual inflation-linked uprating, providing a modest but essential rise in income for families. The true long-term financial game-changer, however, is the scrapping of the two-child limit in April 2026. This policy reversal will provide a genuine, substantial boost to the incomes of larger families, finally extending the Child Element to all dependent children. Families should monitor DWP communications over the next year to understand how the April 2026 policy will affect their specific claim.
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