Overview
- From 6 April 2026, the New State Pension rises 4.8% to £241.30 a week and most disability and working‑age benefits increase 3.8%, with new rates published by the DWP.
- Rachel Reeves said people whose only income is the State Pension will not pay income tax for the remainder of this Parliament, as the full pension is projected to exceed the £12,570 personal allowance in 2027.
- National Insurance will be charged on pension contributions made via salary sacrifice above £2,000 a year from 6 April 2029, a change industry modelling says could reduce some savers’ final pots.
- Disability policy updates include more face‑to‑face PIP and WCA assessments, fewer unnecessary PIP reviews, and Motability changes such as ending VAT relief on top‑ups and applying Insurance Premium Tax, with protections for heavily adapted vehicles and existing leases.
- Operational updates for winter include the £10 Christmas Bonus being paid automatically this week, earlier State Pension payments on the festive bank holidays, and reminders of Winter Fuel Payment, Warm Home Discount and Cold Weather Payments.