Foreign Nationals Make Up One in Six Universal Credit Claimants

By the Editorial Team · Sunday, August 9, 2026

Around one in six Universal Credit claimants in the UK are foreign nationals, amounting to approximately 1.29 million people as of February 2026. This has sparked calls for policy reforms to tighten benefit eligibility and ensure migrants contribute more economically before accessing public funds.

Approximately one in six individuals claiming Universal Credit in the United Kingdom are foreign nationals, according to recent data, highlighting significant public expenditure on benefits for non-British residents. Of the 8.34 million claimants in February 2026, roughly 1.29 million were neither British nor Irish citizens.

Among these foreign-national claimants, 58% were citizens of European Economic Area (EEA) countries eligible under the EU settlement scheme. The remaining 484,000 received benefits due to humanitarian protection, refugee status, indefinite leave to remain, limited leave to remain, or family reunion arrangements. Data reveals that 42.7% of claimants under the EU settlement scheme reported no employment, while 62% of those claiming under protective or refugee statuses were not working.

Universal Credit is designed to assist individuals with low income, those out of work, or unable to work, with the average monthly payout at around £960.

Critics of the current system have voiced concerns over the financial impact of benefit claims by foreign nationals. Lee Anderson, a Member of Parliament representing Reform UK, said taxpayers are frustrated by what he described as foreign nationals receiving benefits despite being capable of work. Anderson emphasized that migrants should “come to work, contribute and pay their way,” asserting that welfare should primarily support “British people who genuinely need it.”

Similarly, Shimeon Lee, a policy analyst from the TaxPayers’ Alliance, expressed alarm at the scale of welfare payments to over a million foreign nationals, calling for an urgent government review to tighten benefit entitlements and ensure support targets those most in need.

In contrast, experts highlight that the proportion of Universal Credit claimants who are foreign nationals aligns with their share of the overall population and has remained steady over recent years. Dr. Ben Brindle of the Migration Observatory at the University of Oxford noted the changing demographic composition of claimants, with more refugees and Ukrainian nationals among recipients, which corresponds to increased migration trends. He also explained that many migrant groups, such as workers and students, are typically ineligible for benefits, which impacts claimant profiles.

A government spokesperson confirmed that the share of foreign nationals claiming Universal Credit has decreased over the past year and outlined ongoing policy measures aimed at reducing net migration. The Home Office’s immigration White Paper proposes reforms to upskill the domestic workforce and extend the residency requirement before migrants qualify for public funds. Officials emphasized that these changes are designed to ensure migrants contribute more to the country before accessing benefits.

This article was reported by synthesizing coverage from multiple independent news outlets to present a balanced, unbiased account. Read about our editorial standards. Spotted an error? Let us know.