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<p>New Claims are often made as a result of a life event such as losing a job or separating
from a partner and these events can be associated with financial problems. To ensure
that no-one has to experience hardship during their first assessment period the Department
has introduced a number of measures to support claimants before they receive their
first Universal Credit award. New claimants can apply for a Universal Credit new claim
advance if they need financial support. This is an interest free payment of up to
100% of their total expected award and they can have up to 12 months to repay it.
In the Autumn Budget 2018, we also announced that from October 2021, the repayment
period for these advances will be extended further, to up to 16 months.</p><p> </p><p>Following
the Autumn Budget 2017, we have also implemented a comprehensive and wide-ranging
package of improvement measures worth £1.5 billion to help claimants as they move
over to Universal Credit. This includes removing waiting days, providing an additional
2 weeks of Housing Benefit to eligible claimants to support them when they move to
Universal Credit and, increasing the amount and repayment period for Universal Credit
new claim and benefit transfer advances.</p><p> </p><p>At the Autumn Budget 2018,
we also announced the introduction of a two-week continuation of Income Support and
the income related elements of Employment and Support Allowance and Jobseeker’s Allowance
from July 2020. This will provide 1.1 million households with further financial support
during their first assessment period.</p><p> </p><p> </p>
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