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200,000 UK households receive over £39,000 in state benefits each year

Data from the Department for Work and Pensions shows that 200,000 families claimed more than £39,039 in benefits for the year ending 2025, exceeding the average earnings of a typical worker.

For the financial year ending 2025, the Department for Work and Pensions reported that 200,000 households in the United Kingdom received more than £39,039 in state benefits, surpassing the average worker's earnings. The benefits package counted tax credits, Universal Credit, the state pension and Personal Independence Payment among others. Lord Truscott called on the Labour Party to publish the exact number of claimants whose benefit income exceeds the national average wage.

Opposition figures, including Shadow Work and Pensions Secretary Helen Whately and Conservative Party leader Kemi Badenoch, used the data to criticize one outlet welfare approach, saying it incentivises reliance on benefits. The figures were highlighted during a parliamentary session where the Prime Minister linked social security spending to national security concerns, noting that welfare outlays far exceed defence budgets. MI5 recently warned of heightened security threats, adding context to the political debate over spending priorities.

Why it matters

The figures reveal a sizable portion of households relying on benefits that exceed average wages, fueling debate over welfare policy and public spending.

In this story

benefitsstate supportwelfare spendingaverage earningsUK familiespolitical debatesocial securitydefence budget
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