Budgeting Loan/Advance - What is a Budgeting Loan/Advance?

A budgeting loan/advance is a loan to pay for certain essentials

Last reviewed 10 January 2024

What is a Budgeting Loan/Advance?

A Budgeting Loan is extra money on top of your benefits to help pay for certain essentials.You have to pay back a Budgeting Loan.

A Budgeting Advance is an extra amount of Universal Credit to help you pay for certain expenses.You have to pay back a Budgeting Advance.

A Budgeting Loan or Advance can help you to pay for:

  • Furniture and household equipment, clothing and footwear

  • Rent in advance and/or removal expenses to new accommodation

  • The costs of improvement, maintenance and security of your home

  • Essential travelling expenses and expenses due to you getting or starting a job

  • Maternity or funeral expenses.

Before you apply for a Budgeting Loan or Advance, check whether you can get these payments which you do not have to pay back:

Applies to: England, Northern Ireland, Scotland and Wales

Age rules: No specific age rules

Taxable: No

Administered by:


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