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Universal Credit Changes 2026 Could Cost Disabled People £2,400 a Year — What You Need to Know
Written by
Georgina, Founder of Purpl
Published on
January 7, 2026
The universal credit changes 2026 could leave disabled people and those with long-term health conditions around £2,550 a year worse off (based on the proposed 2026–27 rates), and many people still do not realise they may be affected.
At the centre of the changes is the Limited Capability for Work and Work-Related Activity (LCWRA) element, which currently provides extra financial support to people whose health limits their ability to work. Under reforms due to take effect from 6 April 2026, most new LCWRA awards are expected to receive a lower LCWRA amount, while an existing/protected group (including people already on LCWRA before April 2026, and some people with severe lifelong conditions or terminal illness) is expected to remain on the higher rate.
This means two people with the same disability could receive very different levels of Universal Credit, purely based on when LCWRA applies. With disability-related living costs still high and benefit rules tightening, timing is becoming more than a small detail — it could shape income for years to come.
At a Glance
- Universal credit changes 2026 will alter disability-related support within Universal Credit
- Most new LCWRA awards from 6 April 2026 are expected to receive a lower LCWRA amount
- Based on proposed 2026–27 rates, the gap is about £2,550 a year for some people
- Existing LCWRA claimants and some severe/terminal illness cases are expected to be protected
- Delays in seeking advice or support could increase the risk of losing out
In this Article
- What are the Universal Credit Changes in 2026?
- Why the 2026 Deadline Matters for Disabled People
- Who Could Be Affected
- What Can Be Done Before
- Frequently Asked Questions (FAQs)
- Final Thoughts
What are the Universal Credit Changes in 2026?
Universal Credit currently includes additional financial support for people assessed as having Limited Capability for Work and Work-Related Activity (LCWRA). This reflects the reality that some people cannot work, or cannot safely prepare for work, because of disability or long-term illness.
As part of the universal credit changes 2026, the government has set out plans to reduce the LCWRA amount for most new LCWRA awards from 6 April 2026, while creating a protected group (including people already receiving LCWRA before the change, and some people who meet severe conditions criteria or are terminally ill).
The practical outcome is that entitlement may increasingly depend on when LCWRA applies, rather than how limiting a condition is.
Sources (UK government / Parliament):
- UK Government – Pathways to Work (Green Paper)
- House of Commons Library – Changes to Universal Credit rates from April 2026
- DWP – Proposed benefit and pension rates 2026 to 2027 (PDF)
Purpl tip: Benefit rules can be time-sensitive, but personal circumstances matter too. Where legacy benefits are involved, getting advice before taking action can prevent accidental losses.
Why the 2026 Deadline Matters for Disabled People
Timing is the defining issue.
Under the universal credit changes 2026, the difference between the protected LCWRA amount and the lower post-reform LCWRA amount creates a two-tier system. In other words, people with similar needs could receive different levels of support depending on whether LCWRA applies before or after 6 April 2026.
How much is the gap (and how is it worked out)?
Based on the proposed 2026–27 Universal Credit monthly rates:
| LCWRA amount | Monthly (2026–27 proposed) |
|---|---|
| LCWRA amount (most new awards from April 2026) | £217.26 |
| LCWRA amount (pre-2026 claimant, severe conditions criteria claimant, or claimant who is terminally ill) | £429.80 |
| Difference | £212.54 per month (about £2,550 per year) |
That “per year” figure is simply £212.54 × 12, using the proposed 2026–27 rates. Of course, benefit rates and policy details can change, so it is always worth checking the latest official publications.
Sources (UK government / Parliament):
- DWP – Proposed benefit and pension rates 2026 to 2027 (PDF)
- House of Commons Library – Changes to Universal Credit rates from April 2026
Purpl insight: Deadlines in complex benefit systems can hit disabled people hardest — especially where extra time, support, or advocacy is needed to navigate forms, evidence, and assessments.
Who Could Be Affected
Someone may be affected by the universal credit changes 2026 if they:
- Have a long-term physical or mental health condition
- Are working but struggling due to health
- Have reduced hours or stopped work recently
- Are relying on savings or family support instead of claiming
- Expect a condition to worsen in 2026
This can apply even where Personal Independence Payment (PIP) is already in place, because PIP and Universal Credit are separate benefits. Receiving PIP does not automatically mean the LCWRA element applies within Universal Credit.
Helpful guidance:
Purpl tip: Uncertainty about eligibility is often a sign that advice is needed — not a reason to wait.
What Can Be done Before
If the universal credit changes 2026 could affect someone, early advice can help clarify options. However, “acting fast” is not always the safest move where circumstances are complex — especially if legacy benefits are involved.
Depending on the situation, it may help to:
- Check whether a condition could qualify for LCWRA within Universal Credit
- Speak to a welfare adviser or disability support organisation
- Get specialist advice before making changes if legacy benefits are currently in payment
- Avoid assuming that future reassessments will always protect entitlement
Some people choose not to apply immediately. However, leaving it too late to get advice or begin gathering evidence can reduce options — particularly where the difference between protected and post-reform LCWRA rates is so large.
Helpful support:
Purpl insight: Early welfare advice is one of the strongest protections against income loss, yet it remains one of the hardest forms of support to access.
Frequently Asked Questions (FAQs)
Will the universal credit changes 2026 affect people already receiving LCWRA?
People who already receive the LCWRA element before April 2026 are expected to be protected through transitional arrangements. In addition, some new claimants who meet severe conditions criteria or are terminally ill are also expected to receive the higher LCWRA amount.
Do the universal credit changes 2026 affect people who receive PIP?
PIP and Universal Credit are separate benefits. Being on PIP does not automatically protect someone from changes to Universal Credit disability-related support, and it does not automatically mean LCWRA applies within Universal Credit.
What happens if a health condition worsens after the universal credit changes 2026?
If a condition worsens after the changes take effect, the level of support within Universal Credit may not match what a similar case would have received under the protected LCWRA amount, depending on circumstances and timing.
Should Universal Credit be claimed before the changes if the situation is unclear?
Many people choose to seek welfare advice before applying. Getting advice early can help clarify whether applying sooner could protect future entitlement — and, importantly, whether applying could risk legacy benefits.
Will everyone with a long-term health condition lose money under the universal credit changes 2026?
No. The changes mainly affect most people who become newly entitled to LCWRA after the reforms take effect. Some people will be protected, while others may see reduced support depending on timing and circumstances.
Sources (UK government / Parliament):
- House of Commons Library – Changes to Universal Credit rates from April 2026
- DWP – Proposed benefit and pension rates 2026 to 2027 (PDF)
Final Thoughts
The universal credit changes 2026 could leave disabled people and those with long-term health conditions significantly worse off, with losses of around £2,550 a year for some people (based on the proposed 2026–27 rates).
Where Universal Credit may be needed now or in the future, understanding the timeline and getting advice early can help protect financial security. As welfare reforms accelerate, timing is no longer a small detail — it could shape income for years to come.
About the Author
Georgina is the founder of Purpl, a platform dedicated to helping disabled people save money through exclusive discounts. Living with both Multiple Sclerosis (MS) and ADHD, she understands firsthand the financial challenges that often come with managing a disability. Because of this, her mission is to collaborate with brands to secure discounts that help ease the cost of essential products, services, and everyday expenses for the disabled community.
As an ambulatory wheelchair user, Georgina also knows how it feels to lose a sense of independence due to a disability. For that reason, she’s deeply passionate about using holistic therapies and diet to manage inflammation and stay as healthy as possible. Ultimately, her goal is to make Purpl a trusted, go-to resource for disabled people — one that provides not only discounts but also practical advice, emotional support, and genuine financial relief.
Beyond Purpl, Georgina has a long-term vision to launch a foundation that will offer grants and funding for disabled people who need additional financial support. Through this, she hopes to create lasting change, empowering others to live with dignity, confidence, and choice.
Follow @Purpldiscounts on social media for the latest disability discounts, financial advice, and accessibility resources.
Other articles, or links, you might find useful:
Changes to Universal Credit: What They Mean for Disabled People, and Where to Get Support
PIP and Disability Benefit Reforms 2025 – A Summary of Changes
PIP and Disability Benefits in 2025: What’s Changing
PIP Bill vs Up-Rating Order: What Changes in 2026
Changes to Universal Credit in 2025
Motability Matters: What Disabled People Told Us and What the Budget Changes Mean
Motability Changes 2025: The Real Facts Behind the Headlines
