Andy Burnham’s government issue new update on £9,800 DWP benefit ‘tax free’
By Google News Personal Finance ·
Labour has issued an update on Bereavement Support Payments after campaigners urged Andy Burnham to increase the tax-free support. MPs will debate a petition on November 23 to raise the payment and extend it beyond 18 months, after it received more than 108,000 signatures.
Campaigners stressed that families with and without dependent children should receive help beyond 18 months, "with annual uprating to reflect cost of living".
At present, the non-means-tested financial help scheme pays up to £9,800 over a period of 18 months to people in the UK whose spouse, civil partner, or cohabiting partner has died, depending on circumstances. However, the Government has previously quashed immediate reform.
In its response to the petition, provided on February 4, 2026, Labour said: "Bereavement Support Payment provides valuable short-term help after a death. While we are not able to increase BSP at this time, longer-term support is available from other social security benefits."
Irene Campbell MP, a member of the Petitions Committee, has been asked to open the debate. Petition debates don’t end with a vote to implement the petition's request. Instead, MPs from all parties discuss the issues raised and have the opportunity to receive a response from the Government.
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Bereavement Support Payments are issued to people whose spouse, civil partner or cohabiting partner has died, if they are under State Pension age and living in the UK or an eligible country.
The partner must have either paid a certain amount of Class 1 or Class 2 National Insurance contributions, or died because of an accident at work or a disease caused by work.
The payment amount depends on a range of factors, including the type of relationship they had, whether they were pregnant, received child benefit, when the claim is made, and when they are due to reach State Pension age.
The higher rate is a one-off payment of £3,500, followed by 18 monthly payments of £350. The lower rate is a one-off payment of £2,500 and 18 monthly payments of £100, totalling £4,300.
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Originally published by Google News Personal Finance
