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<p>Universal Credit (UC) new claim advances provide access to a payment for those
in financial need, which can be accessed on the same day, until their first UC payment
is due. Claimants can access up to 100% of the total expected monthly award, for which
they can pay back over a period of up to 12 months.</p><p> </p><p>The Department has
taken a number of steps to ensure that advances meet the needs of claimants and that
recovery arrangements are personalised and reasonable. From October 2019 we are reducing
the maximum rate of deductions to 30 per cent and from October 2021 we are increasing
the maximum recovery period for advances from 12 to 16 months.</p><p> </p><p>The latest
available data is for eligible claims to UC Full Service that are due a payment in
February 2019. Of these claims 44% had a deduction to repay a UC advance.</p><p> </p><p>Notes:</p><p>
</p><ol><li>Data has been sourced from UC Full Service.</li></ol>
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