Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, pursuant to the Answer of 23 March 2026 to Question 120434, and pursuant to PQ v Secretary of State for Work and Pensions, for what reason payments received by a surrogate mother are treated as income for the purposes of Jobseeker’s Allowance but not for the purposes of Universal Credit.
Neither Universal Credit nor new style Jobseeker’s allowance treats surrogacy payments as income. If differences occur, it is because these benefits operate under different legislative frameworks. For example, new style Jobseeker’s Allowance is a contribution-based benefit, and is therefore not means-tested, except in relation to earnings and occupational pension income, and as surrogacy payments are not classed as earnings, they do not fall to be taken into account. Universal Credit, on the other hand, is means-tested, which means it would follow HMRC’s tax treatment of such payments and consider each case on its facts, and any unspent amounts may be treated as capital under the usual rules.