Copyright mirror
The Department for Work and Pensions (DWP) is set to announce the new payment rates for State Pensions and benefits for the 2026/27 financial year just before the Autumn Budget on November 26. The DWP recently revealed that plans to reform Personal Independence Payment ( PIP ) have been postponed until a 'comprehensive review' into the current assessment process concludes next year. However, the DWP also confirmed that the disability benefit will continue to rise each year in line with the September inflation rate. This means payments for over 3.8 million PIP claimants are set to increase by 3.8 per cent. This uplift would see those on both the highest awards of the daily living and mobility components rise from £187.45 per week to £194.55. The new financial year kicks off on Monday, April 6 2026. This is when all benefits and the State Pension will increase, but it's crucial to note that the actual amounts will be published by the DWP, typically in November or December. That said, it is possible to calculate the potential payment rates for all eight mixed award types of PIP based on the September CPI. This can be used as a guide to help plan household budgets and factor in the uprating, reports the Daily Record . The publication adds that the Scottish Government will announce the uprating of devolved benefits such as Adult Disability Payment (ADP), Child Disability Payment, Pension Age Disability Payment (PADP) and Carer Support Payment at the Scottish Budget on January 13. PIP consists of two components - daily living and mobility. Under a 3.8 per cent CPI uprating, PIP would be paid at the following weekly amounts: Daily living Mobility Those receiving PIP could be granted the lowest rate of one or both parts, the highest rate of one or both parts, or a mixed award of the lower or higher rates of each component. The DWP will send letters to all claimants before April outlining their new payment rates. You may be awarded the lower or higher daily living or mobility component: If you are on the lower rates of both components, your new payments are forecast to be: If you are on the higher rates of both components, your new payments are forecast to be: If you are on the lower rate of one component and the higher rate of the other, your new payments are forecast to be: Remember, PIP and all disability benefits are tax-free and do not affect the benefit cap. The DWP will release the new payment rates and allowances for all benefits before the end of this year, if anything changes before then we will update this article to ensure accuracy for all claimants.
