Keri Trigg
3 days ago
Opinion

Money Matters: Moving from 'legacy benefits' to Universal Credit

In this week’s Money Matters column, Wrekin’s Debt and Energy Manager Dan Bebbington provides an update on the rollout of Universal Credit and what it means for those currently receiving older ‘legacy benefits’.

Dan Bebbington

The move from legacy benefits to Universal Credit (UC) – known as ‘Managed Migration’ – is gathering pace.

Working Tax Credit or Child Tax Credit have now ended, with those on Income Support, income-based Jobseeker’s Allowance (JSA), and income-related Employment and Support Allowance (ESA) and Housing Benefit set to follow.

If you claim any of these benefits, you may have already received a Migration Notice from the Department for Work and Pensions (DWP). If you haven’t, don’t worry – you’ll get one soon.

This letter tells you when and how to apply for Universal Credit. It’s really important not to apply for UC until you receive this letter, and once you do, to act by the deadline shown.

You cannot choose to stay on your old benefits, and if you don’t claim Universal Credit by the date given, your payments will stop. So far, the Government has said nearly a quarter of people have missed the deadline and seen their benefits end – so do keep an eye out for your letter.

The good news is that you won’t be left worse off. If your Universal Credit payment would be lower than what you were previously receiving, you’ll get ‘transitional protection’ to make up the difference. This will ensure your income remains at the same level.

Universal Credit rolls multiple benefits into one monthly payment, including any help you get towards your rent. If you need help with making arrangements to pay your rent by direct debit once you move to UC, speak to your local housing team (or your landlord if you rent privately).

Don’t forget, support for Council Tax isn’t included in UC, so you’ll need to apply separately to your local council.

If you’re unsure about anything or need help with your claim, there’s plenty of support available. Your Migration Notice will include details for a free helpline, and Wrekin customers can always contact our Money Matters Team for support through the process.