If your Universal Credit has been cut because of a sanction or penalty for fraud, you might be able to get some emergency money - as much as £153 - to help you cover household expenses like food and bills.

People on Universal Credit could be handed £153 payments from DWP

by · Birmingham Live

People receiving Universal Credit could be eligible for a £153 hardship payment. This emergency fund is available to those whose Universal Credit has been reduced due to a sanction or fraud penalty.

The 'hardship payment', which can be as much as £153, is designed to help cover essential household expenses such as food and bills. However, it's important to note that this payment is a loan and will typically need to be repaid once the sanction ends.

The Jobcentre usually recoups the money by deducting a certain amount from your Universal Credit payment each month until the debt is cleared. Applications for a hardship payment can be made to tide you over until your next Universal Credit payday.

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If you find yourself in hardship the following month, another application will need to be made. Eligibility criteria include being 18 or over (or 16 if your payment has been reduced due to fraud), struggling to meet basic needs for yourself or a child or young person you're responsible for, and having made every effort to cut back on non-essential spending.

'Basic needs' are defined as accommodation, heating, food and hygiene. You'll only qualify if the reason you can't meet these needs is because of the sanction

The Jobcentre expects money to be spent solely on meeting basic needs, so they may expect you to reduce spending on entertainment or leisure activities.

Before you can apply, you must have exhausted all other possible sources of income. The Jobcentre should be understanding of your situation.

For instance, they won't expect you to sell your possessions, relocate, or take out a bank loan or credit card. However, they may expect you to borrow money from friends or family, seek other benefits (such as from your local council or local charities), or request additional work hours if you are employed.

You must have completed all the work-related activities that were required of you in the 7 days prior to applying for a hardship payment.

If your Universal Credit has been cut because of a sanction or penalty for fraud, you might be able to get some emergency money - as much as £153 - to help you cover household expenses like food and bills.