Benefits uprate in October budget

bobby123
bobby123 Community member Posts: 253 Empowering
in Universal Credit (UC)

Anyone know how this is calculated and what we could get in the announcement in october

Comments

  • Jimm_Scope
    Jimm_Scope Posts: 4,297 Online Community Specialist

    Hi @bobby123, benefits uprating is usually calculated using two price indices which track inflation

    • the Consumer Prices Index (CPI)
      Which is the average change in prices paid by urban consumers for a market basket of goods and services, excluding housing costs like mortgage interest payments.
    • the Retail Prices Index (RPI)
      Which is similar to the above but includes housing costs

    I believe for the past several years CPI has been used to uprate benefits, CPI tends to be the preferred index for the government to use. When you hear the government reporting on inflation it's usually CPI.

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