To ask the Secretary of State for Work and Pensions, if she will take steps to bring forward to date to extend the repayment period for universal credit advances to 16 months from October 2021.
28 February 2020
The Department has announced that from October 2021, the repayment period for these advances will be extended further to 16 months. There are no plans to introduce this earlier.
Claimants can access up to 100% of their total expected Universal Credit monthly award, which they can pay back over a period of up to 12 months. Proposed repayments of the advance are explained in advance, and all claimants are advised to request a level of advance which is manageable when considering the repayments required. Work Coaches gauge claimants’ financial needs from their first interview. For those who need help with budgeting, we can signpost to additional support, for example through the Money and Pensions Service (MaPS), who can help with personal budgeting and money management through its free helpline, printed guides and digital guidance.