Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, how many universal credit claimants who have an existing advance have been offered an additional budgeting advance in the last 12 months.

Universal Credit new claim and benefit transfer advances provide access to a payment for those in financial need, which can be accessed on the same day, until their first UC payment is due, ensuring no one has to be left without means of financial support. Claimants can access up to 100% of the total expected monthly award, which they can pay back over a period of up to 12 monthly instalments. In the Autumn Budget 2018, we announced that from October 2021, the repayment period for these advances will be extended to 16 monthly instalments.

A budgeting advance is available for one off unexpected financial events that the claimant is unable to meet and is repayable over a period of up to 12 monthly instalments.

The latest available data shows in the 12 months between March 2018 and February 2019 around 840,000 claims received a new claim or benefit transfer advance. In the same period 134,000 claims received budgeting advances, where for the previous assessment period prior to receiving a budgeting advance there was a repayment of a previous advance for that claim.

Notes:

1. Figures are rounded to the nearest 1,000.
2. Figures relate only to Universal Credit full service.
3. Figures do not relate to those who may have been repaying an advance from a previous claim.