Statutory Maternity Pay is treated as earnings for Universal Credit and will be partly disregarded under the work allowance. Maternity Allowance (MA) is treated as income for Universal Credit and is deducted in full.

Does statutory maternity pay affect Universal Credit?

Under the Universal Credit rules, Statutory Maternity Pay is classed as 'earnings'; this means that some of the amount paid is disregarded. ... As the Maternity Allowance income is more than she is deemed to need, she is not entitled to any Universal Credit.

How much does maternity allowance affect Universal Credit?

Under the Universal Credit Regulations 2013 Maternity Allowance is treated as 'unearned income' and is deducted from any Universal Credit award pound for pound. Statutory Maternity Pay is treated as 'earnings' and is partially disregarded from any Universal Credit award as a result of the Work Allowance.