The Department for Work and Pensions (DWP) is offering an extra £416 per month to certain people on Universal Credit. This little-known benefit can amount to nearly £5,000 a year, helping those who face health challenges or disabilities.
The payment is part of the Limited Capability for Work and Work-Related Activity (LCWRA) scheme, designed to assist individuals who are unable to work due to their health conditions.
In this article, we explain the LCWRA payment, who qualifies, how to apply, and what steps you need to take to receive this financial support.
The Limited Capability for Work and Work-Related Activity (LCWRA) payment is an additional amount provided to Universal Credit claimants who have a health condition or disability that limits their ability to work or prepare for work. This extra payment is designed to help people manage their disability or health condition while providing them with some financial relief.
The £416 per month is added to your standard Universal Credit allowance, bringing the total value of the payment to nearly £5,000 per year.
To qualify for the LCWRA payment, you need to meet the following criteria:
- Universal Credit recipient: You must already be receiving Universal Credit.
- Health condition or disability: You must have a health condition or disability that limits your ability to work or prepare for work.
- Work Capability Assessment: After reporting your health condition or disability, you may need to undergo a Work Capability Assessment (WCA). This assessment determines whether you are fit for work or have limited capability for work or work-related activities.
- Earnings threshold: You must not earn more than £846 per month from work (the earnings limit for Work Capability Assessment).
If you are eligible, the £416 monthly payment will be added to your regular Universal Credit amount. If you are assessed as having limited capability for work, this payment can be added to your monthly Universal Credit claim.
The Work Capability Assessment is an essential part of determining your eligibility for the LCWRA payment. During the assessment, the DWP evaluates whether you are able to perform any type of work or if you need support due to your health condition or disability.
- Fit for work: If you are assessed as fit for work, you will not receive the LCWRA payment.
- Limited capability for work: If you are assessed as having limited capability for work, you may receive a lower payment.
- Limited capability for work and work-related activity: If you are assessed as having limited capability for work and work-related activity (LCWRA), you are eligible for the full £416 extra per month.
If you qualify for the LCWRA payment, you are allowed to earn up to a certain amount without it affecting your Universal Credit. This is called a ‘work allowance’, and the amount you can earn without losing Universal Credit depends on your circumstances.
For example:
- If you are not responsible for children or have a partner who works, you can earn up to £344 per month.
- If you are responsible for children or have a partner who is also on Universal Credit, you may be allowed to earn up to £573 per month without affecting your payment.
See also DWP Announces £725 Boost to Households on Universal Credit
| Eligibility Criteria | Amount | Action Required |
|---|---|---|
| Universal Credit recipient | £416 per month | Undergo Work Capability Assessment (WCA). |
| Health condition or disability | Up to £5,000 annually | Report health condition to DWP. |
| Limited Capability for Work (LCW) | £344 – £573 per month (work allowance) | Notify DWP of earnings and household status. |
| Limited Capability for Work and Activity (LCWRA) | £416 per month | Receive the full LCWRA payment if eligible |
The £416 per month from the DWP is a crucial financial lifeline for those with limited capability to work. If you are receiving Universal Credit and have a qualifying health condition or disability, this extra payment can provide much-needed support.
By understanding the eligibility requirements, completing the Work Capability Assessment, and knowing how much you can earn while still receiving payments, you can ensure that you’re receiving all the financial support you’re entitled to.
The LCWRA payment is £416 per month, or nearly £5,000 annually for those who qualify.
No, you do not need to apply separately. If you qualify, the payment will be added automatically to your Universal Credit.
Yes, you can work while receiving the LCWRA payment, but you must stay within the earnings threshold to continue receiving support.
