A mum has questioned whether the Department of Work and Pensions (DWP) would give her a budgeting advance to buy some baby essentials. The Universal Credit claimant was hoping to purchase a pram and cot, along with several other items she needed for her second child.
Taking to Reddit, she explained that she had received emergency help before, but didn’t know if her current needs would meet the criteria. She posted: “I’m looking to apply for a budgeting advance tomorrow and believe I fit the criteria as I’ve had one in the past. I would be looking to apply for a pram, cot and baby items. Would this fit the criteria?”
One fellow forum user advised: “Call your Service Centre or visit your Jobcentre Service Delivery Team. When they look at the options of advances available, it will show if there is a budgeting advance available. The budgeting advance can be for starting/keeping paid work only or it may allow for ‘an essential domestic expense’. If it says the latter, mention that you have childcare issues that need to be addressed urgently. All the best.”
READ MORE: ‘I had my PIP review and one question has stayed on my mind all week’
Another replied: “As long as you’ve been claiming more than six months and paid off the last one, you should be ok. Just give them the amount you need for each item, they usually need specifics. As it’s essential baby things, have you also looked to see if there’s any charitable help in your area, too?”
According to the gov.uk website, those who receive Universal Credit could apply for a budgeting advance to “help pay for emergency household costs”. Examples of what would be considered an emergency cost include replacing a broken cooker and funeral costs.
The official advice states: “A budgeting advance is a loan, and you’ll need to repay it through your regular Universal Credit payments – your payments will be lower until you pay it back. If you stop getting Universal Credit, you’ll have to repay the money in another way.”
The amount people can borrow depends on how much they need. The smallest amount that can be borrowed is £100, and those with children can get up to £812.
To be eligible for a budgeting advance, people must have been getting Universal Credit, Employment and Support Allowance, Income Support, Jobseeker’s Allowance or State Pension Credit for six months or more, or need the cash to help start a new job or stay in work. Those who have earned more than £2,600 (£3,600 together for couples) in the past six months will not be eligible. Those who have not paid off any previous budgeting advance loans will also be refused, as rules state people can only have one at a time.
Applications can be made via a journal update on Universal Credit accounts, by contacting the jobcentre, or calling the Universal Credit helpline on 0800 328 5644.