What is the Universal Credit program and how does it work?

The Universal Credit program is a government initiative in the UK that aims to simplify and replace six welfare benefits into a single payment. It is designed to support individuals and families on low incomes or out of work, providing financial assistance for living costs and housing. Universal Credit combines previously separate benefits, such as unemployment benefits, tax credits, and housing benefits, into one monthly payment. Eligible claimants can apply online and receive their payment directly into their bank account. The amount received is calculated based on individual circumstances, including income, household size, and location. Universal Credit promotes personal responsibility by requiring claimants to actively seek work or engage in work-related activities, and it includes a digital service where claimants must regularly report their job search progress.