Allow UC claimants with start-up-businesses to receive payments for 3 years

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closedDepartment for Work and PensionsOpened 12 March 2026Closed 12 September 2026

Background

Change the law to allow people on Universal Credit who start and run a business to continue to receive payments for 3 years. This could give them time to build income and stability before benefits are reduced. This could encourage self-employment, growth, and independence from Universal Credit.

Additional details

Currently, people on Universal Credit risk losing benefits after 12 months, making it difficult for many to move forward. A 3-year grace period could let them build sustainable businesses, increase confidence, and create future jobs. Many may later leave Universal Credit altogether, saving money long-term and giving people real opportunities to succeed.

Where it’s popular

Constituencies with the most signatures on this petition.

Source: UK Government & Parliament Petitions service. Petition ID: 759671.