March 2026 Payment Dates for Benefits and Pensions Plus Cost of Living Support
All the essential cost of living information, whether claiming benefits or not, is detailed here. Spring approaches, bringing brighter weather and hopes for lower bills as cold weather costs decline. However, March can be challenging for many, as we anticipate the changes—both positive and negative—that the financial new year starting 1 April promises to deliver.
Inflation increased for the first time in five months during December, rising from 3.2 to 3.4 per cent. This slight uptick means the rate remains nearly one per cent higher than at the end of 2024, with prices staying persistently high amid stagnant incomes. Simultaneously, exorbitant household bills are forcing millions to grapple with debts to afford essentials.
Recent analysis by the Cost of Living Action group found that around two-thirds (63 per cent) of Britons report having to cut back on essentials to manage the cost of living. Meanwhile, the Resolution Foundation think tank revealed that 55 per cent of households living in poverty now include at least one working person, highlighting the scale of the issue.
Financial Support and Claiming Entitlements
Against this difficult economic backdrop, households are urged to claim all support they are entitled to. Currently, about 24 million people in the country claim some combination of Department for Work and Pensions (DWP) administered benefits, including state pension recipients, representing roughly one in three individuals. Yet, research by Policy in Practice indicates that £24 billion worth of benefits goes unclaimed annually—use their helpful calculator to determine potential entitlements.
Benefit Payment Dates in March
Benefit payments will proceed as usual in March, with no bank holidays to consider. These include:
- Universal credit
- State pension
- Pension credit
- Child benefit
- Disability living allowance (DLA)
- Personal independence payment (PIP)
- Attendance allowance
- Carer’s allowance
- Employment support allowance (ESA)
- Income support
- Jobseeker’s allowance
For more details on how and when state benefits are paid, visit the government’s website. The DWP aims to complete the migration of all "legacy benefits" to universal credit by the end of March 2026. Those receiving tax credits, income support, jobseeker’s allowance, and housing benefit should have already received a notice about transitioning to universal credit.
Pension Payment Dates in March
The basic state pension is paid directly into bank accounts, similar to benefits, typically every four weeks. The payment day corresponds to the last two digits of your national insurance (NI) number:
- 00 to 19: Monday
- 20 to 39: Tuesday
- 40 to 59: Wednesday
- 60 to 79: Thursday
- 80 to 99: Friday
The same bank holiday payment date changes that apply to most benefits also affect state pension payments.
Benefit Rate Increases in April 2026
In April 2026, all universal credit claimants will receive an above-inflation income boost of around 6.2 per cent to the standard allowance. For a single person over 25, this means a £6 per week increase, from £92 to £98. For couples with one or both partners over 25, it will be a £9 per week rise, from £145 to £154.
Most other benefits should be uprated by September’s inflation rate alone, increasing by 3.8 per cent. This includes PIP, DLA, attendance allowance, carer’s allowance, ESA, and more. However, the monthly payment rate for the health-related element of universal credit for new claimants will be cut from £105 to £50, with existing claimants' rates frozen until 2029—a reduction of over £200 monthly, halving the additional rate. It is advisable for eligible individuals to apply promptly.
The state pension will rise by 4.8 per cent from next April in line with annual earnings growth, confirmed by the government, bringing the weekly amount to £241.05.
Other Available Help
Budgeting Advance Loans: The government offers interest-free "budgeting advance loans" for universal credit claimants facing emergency financial shortages, with a maximum repayment period of two years. Loans are automatically deducted from universal credit payments, with amounts up to £348 for singles, £464 for couples, and £812 for those claiming child benefit. Following Labour’s 2024 Budget, deductions from universal credit have been capped at 15 per cent of the standard allowance, down from 25 per cent, starting April 2025.
Discretionary Housing Payment (DHP): Households can apply to their council for a DHP, offering financial support for rent or housing costs, available only to those receiving housing benefit or the housing element of universal credit. Eligibility and funds vary by council.
Household Support Fund (HSF): Distributed by local councils, the HSF provides assistance such as essential appliances, utility bill contributions, and cash payments up to £300 for those in financial hardship. This programme runs until March 2026, with £1 billion in funding transitioning to a ‘Crisis and Resilience Fund’.
Charitable Grants: Available for specific circumstances like disability, illness, or unemployment, with limited funds. The charity Turn2us offers an online tool to search for grants.
Energy Provider Help: Suppliers like British Gas, Scottish Power, EDF, E.ON, OVO, and Octopus offer assistance for struggling customers, including free devices like electric blankets for vulnerable households.
Social Tariffs for Broadband and Water: Reduced rates for eligible low-income households, though water support varies by region. Broadband providers also offer social tariffs for those on benefits like universal credit or pension credit.
Council Tax Reduction: Discounts of up to 100 per cent for those meeting criteria or on certain benefits, with discretionary reductions available for severe hardship.
Up to 30 Hours of Free Childcare: From 1 September 2025, all working parents in the UK are entitled to 30 hours of free childcare for children up to age four, with eligibility reconfirmed every three months. Tax-free childcare offers a 20p return for every 80p spent, up to £500 annually.
Energy Price Cap and Cost of Living Payments
Ofgem’s energy price cap rose to £1,758 for 1 January to 31 March 2026—a 0.2 per cent increase. Many experts recommend considering fixed tariff deals, which may offer lower rates. The DWP has not announced any continuation of the cost of living payment scheme that ended in February 2024.
Mental Health Support
In the UK and Ireland, Samaritans can be contacted 24/7 at 116 123 or via email at jo@samaritans.org. Mind runs a support line at 0300 102 1234, an information line at 0300 123 3393, and a welfare benefits line at 0300 222 5782. Disability charity Scope offers a forum for supportive chats, and the NHS provides an online mental health triage service.
