Yesterday, the UK Government’s latest Spring Budget included important updates for those in the TSC community – in particular, those who receive benefits like Universal Credit. The changes will mean that some families with TSC who receive benefits have greater freedom and ability to manage their finances.
The Spring Budget is an annual statement of the UK Government’s plans for the country’s spending and income. It usually includes tax changes and new ideas on how things can be funded. It’s an important event, as the things in the Spring Budget can have an impact on everyone’s finances.
In this year’s Spring Budget, it was confirmed that the repayment period for Universal Credit budgeting advances has been extended from 12 months to 24 months. Budgeting advances are interest-free loans that you can get from the government which you pay back through your usual Universal Credit payments. It can help to cover emergencies, like a broken boiler. The change will mean that you can choose to spread the loan out for longer, possibly making it easier to manage because you’ll pay back less each month but other a longer period of time. The amount that you can borrow is different for everyone, depending on how much you earn and any savings you have.
It was also announced that there’ll be a 6.7% increase in means-tested benefits (like Universal Credit) starting in April 2024. This will mean that you might be given more than you currently get. Other announcements included the removal of the £90 fee for a debt relief order. Debt relief orders help to deal with personal debts under £30,000 that you cannot pay – it currently requires you to pay £90 to start the process.
Many individuals and families in the TSC community face financial challenges, as a direct result of the condition. The TSA welcomes these changes, but pushes the UK Government to do more to support people like those in the TSC community whose opportunities for income are limited. If you or your family are facing financial difficulties, the TSA Support Line and TSA Support Fund are here for you.
