UK Government adds £150 Universal Credit bonus and highlights £252 tax gap for cohabiting couples

Finance minister Rachel Reeves confirmed a one‑off £150 bonus for every Universal Credit claimant in England, Wales and Scotland. The amount will be deducted directly from energy bills as a credit or voucher, covering roughly six million low‑income households – about double the number who received the scheme previously. The measure is intended to ease the cost‑of‑living pressure on vulnerable families as energy prices rise.

HM Revenue & Customs warned that more than 3.5 million unmarried cohabiting couples across the UK may be missing out on the Marriage Allowance, a tax benefit worth up to £252 a year, as well as other protections such as inheritance‑tax exemptions and survivor pension rights. Financial adviser Sean McCann urged partners to review wills, property ownership, pension nominations and life‑insurance arrangements, while ministers consider reforms to strengthen the legal standing of cohabiting couples.