Sam Lister: How can social landlords help families benefit from changes to universal credit?

Social landlords are uniquely placed to help ensure families receive the financial support they are entitled to. CIH policy lead Sam Lister explores how and why they should help ahead of April 2026. 

From 6 April 2026, the removal of the two-child limit in universal credit (UC) will significantly increase the support available to larger families. For many households, particularly those with three or more children, this change will increase entitlement or make them eligible for UC for the first time.

Social landlords are uniquely placed to help ensure these families receive the support they are entitled to.

Why social landlords matter for benefit take-up

Social landlords often have a close relationship with their tenants and are already aware of households who may be struggling with housing costs – despite being in work. This puts them in a strong position to identify tenants who may qualify for additional support once the new rules come into force.

Improving benefit take-up is not simply about offering advice. It is about identifying households who are entitled to support but are not currently claiming and communicating with them in a way that shows it is likely to be relevant to their circumstances.

General messaging about benefit entitlement typically generates very low response rates. If someone believed they were likely to qualify, they would often already have claimed. Targeted and personalised communication is therefore essential.

What the removal of the two-child limit means

When the two-child limit is removed, families with more than two children will see their UC entitlement increase.

A household that already qualifies for UC, but is not claiming, could receive an additional £304 per month for each child beyond their second once the change takes effect. For example, a family with three children who would currently receive only £1 per month could receive around £305 per month from April 2026.

The policy change will also significantly increase the level of earnings households can have while still qualifying for UC.

For example, a couple with three children paying £100 per week in rent currently only qualify if their combined gross earnings are less than £49,553 per year. From April 2026, that threshold will increase to around £61,728 per year. 

In households paying childcare costs for two or more children, the threshold is even higher. The same family could earn up to £78,151 per year and still receive some UC support.

This means many families who currently earn too much to qualify may become eligible once the new rules take effect.

Where the greatest opportunity for take-up lies

Lone parents with multiple children already have relatively high earnings thresholds within UC and are therefore more likely to be claiming already.

The greatest potential for increased take-up is likely to be among couples in low-paid work, particularly where both parents are working but earnings are still relatively modest.

These households may currently assume they are not eligible for UC, when in fact they could qualify once the two-child limit is removed.

How landlords can support tenants

To maximise the impact of this policy change, social landlords should consider four key principles.

• Target communications carefully. Messages should be sent to tenants where there is a high probability they will qualify. Poorly targeted communications can reduce trust and lead people to ignore future messages when new opportunities for take-up arise.
• Personalise the message wherever possible. Landlords already know tenants’ rent levels and family size. This makes it possible to provide tailored information such as: “If your household earns below approximately £XX per year, you may qualify for UC once the new rules take effect.”
• Encourage tenants to claim small awards. Where their likely entitlement is small, households can be encouraged to claim by reminding them that UC would cover the whole of the cost of any future rent increase
• Plan for follow-up support. Communications should signpost where tenants can obtain advice or help with claiming. However, this should only be done where there is sufficient capacity to respond quickly to enquiries. If you cannot deal with any anticipated spike in demand, consider a phased campaign (e.g. a single estate at a time).

Acting before April

Households who will qualify once the two-child limit is removed can now make a UC claim – since 7 March, one month before the change takes effect. If they already have a claim in place, their award will be adjusted automatically from the first assessment period beginning on or after 6 April.

For social landlords, the period leading up to April presents an opportunity to ensure tenants who could benefit from the change are aware of it and supported to claim.

With targeted outreach and personalised messaging, landlords can play an important role in ensuring families receive the financial support they are entitled to.