DWP issues Universal Credit warning ahead of major benefits change

Universal Credit
-Credit: (Image: Getty Images)


Thousands of people on Tax Credits are being warned to respond to a ‘migration’ notice or their benefits could stop.

The Department for Work and Pensions (DWP) warning comes ahead of a major change to the benefits system which will see Tax Credit customers moved to Universal Credit.

Tax Credits will close in April next year as part of a phasing out of legacy benefits to bring government financial support into once place.

Read more: HMRC warns people born in these years to claim £2,200 cash pot

Legacy benefits, which includes Tax Credits, Housing Benefit, Income Support, Jobseeker’s Allowance and Income-Related Employment and Support Allowance, will instead be replaced by Universal Credit in six months’ time.

But the switch will not be made automatically meaning that Tax Credit customers will need to respond to their Universal Credit migration notices to ensure they continue to receive their benefits.

The DWP said those affected have three months from the date on their migration notice to make an application for Universal Credit, and do not need to take action until this letter is received.

The DWP has set out a timeline for the migration to Universal Credit for legacy benefits claimants. The dates to you should receive your migration notice are as follows:

  • Tax credits, only if you are below State Pension age - from March 2023

  • Tax credits with Housing Benefit - from April 2024

  • Income Support (Income Support only, Income Support with tax credits, Income Support with Housing Benefit, Income Support with Housing Benefit and tax credits_ - from April 2024

  • Housing Benefits only - from June 2024

  • Income-related Employment Support Allowance (ESA), with Child Tax Credits - from July 2024

  • Tax credits (if you are of State Pension age and are asked to move to Pension Credit)- from July 2024

  • Tax credits (if you are of State Pension age and are asked to move to Universal Credit)- from September 2024

  • Income-based Jobseekers Allowance (JSA)- from September 2024

  • Employment and Support Allowance (ESA) only - from September 2024

  • Employment and Support Allowance (ESA) with Housing Benefit - from September 2024

Sir Stephen Timms, Minister for Social Security and Disability, said: “Having three months to make a move may feel like a long time but life can often distract you elsewhere. For the best chance to secure your benefit entitlement don’t delay with responding to your migration notice.

“We are committed to ensuring a smooth transition and customers will have the full support of DWP staff to help manage this change.”