The Department for Work and Pensions (DWP) is planning to ask 500,000 people on old benefits to apply for Universal Credit by the end of the year. So far, over 130,000 people have already switched from Tax Credits to Universal Credit, which makes it easier to manage and report changes online.
The DWP has put out a timeline for people receiving old benefits like Income Support, Tax Credits, Housing Benefits, Income-Based Employment and Support Allowance (ESA), and Income-Based Jobseeker’s Allowance (JSA).
If you get a notice, you’ll need to switch to Universal Credit within three months. If you miss this deadline, you might lose your benefits. The guidelines for switching to Universal Credit have been updated on GOV.UK, and they’re now clearer and easier to follow.
Who is exempted from transitioning to Universal Credit?
Some groups don’t need to switch to Universal Credit:
- People who are 66 or older and getting housing benefits will keep their benefits under the current system.
- Those staying in temporary housing arranged by councils, like hostels or shelters, don’t have to move to Universal Credit.
- Individuals receiving ‘New Style’ benefits, such as New Style ESA (Employment and Support Allowance) or JSA (Jobseeker’s Allowance), are also not affected by this change.
When should you switch to Universal Credit?
The Department for Work and Pensions (DWP) has announced when people on old benefits will receive notices about moving to Universal Credit. These notices are crucial because they give people three months to switch to the new system. If they don’t switch within that time, they might lose their current benefits.
Here’s when different groups will get their notices:
- ESA only and ESA with Housing Benefit: Notices for these groups will be issued later, but the exact timing hasn’t been set yet.
- Tax Credits with Housing Benefits: Notices will start going out in April 2024.
- Income Support (with or without Housing Benefit and Tax Credits): Notices will also be sent out from April 2024.
- Housing Benefits only: Notices are expected to start in June 2024.
- Income-related ESA with Child Tax Credits: Notices will be sent from July 2024.
- Tax Credits for those of Pension Age: These notices are planned for August 2024.
- Income-based Jobseeker’s Allowance: Notices will be issued in September 2024.
DWP Recommendations
The DWP advises that you should wait to take any action until you get your letter. You won’t be moved over automatically. Once you receive your Universal Credit Migration Notice letter, you’ll need to apply for Universal Credit to keep getting financial support. Your letter will include a deadline.
You have three months from the date on the letter to make your claim. Once you submit your Universal Credit claim, your current benefits will stop right away. Keep in mind that you won’t be able to switch back to your old benefits after you’ve made the claim.
Transitional Protection Payments
If your Universal Credit amount is less than what you used to get from tax credits or other benefits, you’ll receive a Transitional Protection payment. This payment helps cover the gap between your old benefits and your new Universal Credit amount.
Even if you have savings, investments, or other assets worth more than £16,000, you can still apply for Universal Credit if you’ve previously received Tax Credits. This rule applies for up to 12 assessment periods, giving you more financial breathing room during the switch. Full-time students in higher education can keep receiving benefits until they or their partner finish their course.
Eligibility Criteria
You don’t need to fill out any extra forms to get Transitional Protection. Just make sure you apply for Universal Credit before the deadline mentioned in the Migration Notice to qualify.
How to Apply for Universal Credit
- Head to the Universal Credit section on the GOV.UK website.
- If you don’t have an account yet, you’ll need to create one. This account will help you manage your claim and get updates from the Department for Work and Pensions (DWP).
- Fill out the application form with details like your personal info, income, savings, and housing situation.
- After filling everything in, double-check your information and then submit your claim.
Assistance for Claiming Universal Credit
If you need help with Universal Credit or just prefer to speak directly to someone, you can call the free Universal Credit Migration Notice helpline at 0800 169 0328. They can help you start your claim, explain the application process, or guide you through the online system.
For face-to-face support, you can visit your local Jobcentre Plus. To find the nearest one, use the Jobcentre Plus locator tool on the GOV.UK website. It’s a good idea to call ahead and maybe set up an appointment to get the most thorough help.