Part 1Universal credit

CHAPTER 1Entitlement and awards

Awards

7Basis of awards

(1)

Universal credit is payable in respect of each complete assessment period within a period of entitlement.

(2)

In this Part an “assessment period” is a period of a prescribed duration.

(3)

Regulations may make provision—

(a)

about when an assessment period is to start;

(b)

for universal credit to be payable in respect of a period shorter than an assessment period;

(c)

about the amount payable in respect of a period shorter than an assessment period.

(4)

In subsection (1) “period of entitlement” means a period during which entitlement to universal credit subsists.

8Calculation of awards

(1)

The amount of an award of universal credit is to be the balance of—

(a)

the maximum amount (see subsection (2)), less

(b)

the amounts to be deducted (see subsection (3)).

(2)

The maximum amount is the total of—

(a)

any amount included under section 9 (standard allowance),

(b)

any amount included under section 10 (responsibility for children and young persons),

(c)

any amount included under section 11 (housing costs), and

(d)

any amount included under section 12 (other particular needs or circumstances).

(3)

The amounts to be deducted are—

(a)

an amount in respect of earned income calculated in the prescribed manner (which may include multiplying some or all earned income by a prescribed percentage), and

(b)

an amount in respect of unearned income calculated in the prescribed manner (which may include multiplying some or all unearned income by a prescribed percentage).

(4)

In subsection (3)(a) and (b) the references to income are—

(a)

in the case of a single claimant, to income of the claimant, and

(b)

in the case of joint claimants, to combined income of the claimants.