DWP urged to 'explain' new Universal Credit rule after 180,000 see benefits axed

James Rodger

2 July 2024 at 4:34 am·2-min read

The Department for Work and Pensions (DWP) has halted benefit payments for 184,000 individuals as part of the extensive transition from legacy benefits to Universal Credit. This drastic measure has sparked significant concern among experts, including Andy Wood, who has highlighted the potentially severe impacts.

“According to a recent update from the Department for Work and Pensions (DWP), 824,050 individuals in 540,070 households received migration notices between July 2022 and March 2024 across England, Wales, and Scotland. The vast majority (821,430) were tax credit claimants," Mr Wood told BirminghamLive.

Mr Wood went on, saying: “The transition to Universal Credit is replacing six legacy benefits, including Working Tax Credit, Child Tax Credit, Housing Benefit, income-related Employment and Support Allowance (ESA), Income Support, and income-based Jobseeker's Allowance (JSA).

“Of the 824,050 individuals issued migration notices between July 2022 and March 2024, 400,940 (49 percent) have successfully transitioned to Universal Credit, with 60 percent of those households receiving transitional protection to maintain their payment levels.

"An additional 238,990 (29 percent) are still in the process of switching.” He added: “Meanwhile, 184,120 individuals (22 percent) have not transitioned and have had their legacy benefit claims closed, according to the DWP.“

He went on: "The termination of benefits for 184,000 claimants highlights the critical need for a more empathetic and supportive approach in the Universal Credit rollout. Many of these individuals are likely facing significant challenges, and the DWP must prioritise their well-being over meeting migration targets.

"The primary goal should be ensuring that no one is left without essential support." He added: "The DWP's ability to manage the migration of claimants from legacy benefits to Universal Credit is concerning, especially for those vulnerable.

"The loss of benefits for many individuals is unacceptable, and the DWP must provide comprehensive support to ensure a smooth transition."

Manchester Evening News
Personal finance expert says people are making £20,000 savings mistake
Roughly 40 million people could be missing out on thousands of pounds for 'free'
The Telegraph
How to shield your savings from a Labour tax raid
Savers must act now to protect their wealth from the Government – and a possible incoming Labour administration.
The Northern Echo
Universal Credit warning to thousands as 180,000 have benefits stopped
Households who receive six legacy benefits set to be replaced by Universal Credit have been issued a warning as they risk having their benefits stopped
Business Insider
Russia's war-driven economy is so hot that the World Bank upgraded it to a 'high-income country'
Russia's trade rebounded by nearly 7% last year, while activities in the financial sector and construction grew by 6.6% and 3.6% respectively.
The Telegraph
What Labour has in store for your pension
The pensioner vote has been a key battleground in this election. One of the Conservatives’ key pledges was the introduction of the “triple lock plus” – extra tax breaks for the retired. But it is highly unlikely the policy will see the light of day, so what does Labour have in store for your retirement savings – and what can you do about it?
Fortune
Elon Musk vows Bill Gates will be ‘obliterated’ if he doesn’t stop shorting Tesla
If the Optimus robot somehow catapults Tesla to Musk’s $30 trillion market cap target, bears like the Microsoft cofounder could be wiped out—but that is a big if.
The Telegraph
Labour’s secret tax plans – explained
Follow The Telegraph’s latest general election live blog
Barrons.com
Nvidia Is the Fifth Most Profitable Company in the S&P 500. Here Are the 4 That Beat It.
Net income margin, which is calculated by dividing net income by revenue, shows how much money a company is making from its sales
Fool.co.uk
I think this is the best dividend stock to buy in the FTSE 250. And it’s dirt cheap!
This FTSE 250 stock isn't just a leader in its space. Our writer thinks it's also a passive income powerhouse trading at a bargain price. But for how long? The post I think this is the best dividend stock to buy in the FTSE 250. And it’s dirt cheap! appeared first on The Motley Fool UK.
Fool.co.uk
A rare chance to buy one of the best dividend shares on the market?
This is one of the best-performing dividend shares on the London Stock Exchange, and it looks incredibly cheap. But could this soon change? The post A rare chance to buy one of the best dividend shares on the market? appeared first on The Motley Fool UK.
Benzinga
Warren Buffett's Weekly Dividend Earnings Exceed $47 Million: The Top 3 Stocks Driving His Wealth
American business owner Warren Buffett, founder of multinational conglomerate holding company Berkshire Hathaway, collects $2.1 billion in dividends from just three stocks. Here are the three stocks driving his growing wealth. Don't Miss: Are you rich? Here’s what Americans think you need to be considered wealthy. Can you guess how many retire with a $5,000,000 nest egg? – How does it compare to the average? Miami is expected to take New York's place as the U.S. Financial Capital. Here's how you
Fortune
Steve Ballmer, who was once Bill Gates’ assistant, is now richer than his onetime mentor
Ballmer was employee No. 30 at Microsoft but got most of his wealth from a sweetheart deal.
Fool.co.uk
If a market correction is on the way, these FTSE 100 growth stocks are on my buy list
Governor Andrew Bailey thinks asset prices are looking frothy. Our writer is looking at which FTSE 100 stocks he'd buy if a reckoning comes to pass. The post If a market correction is on the way, these FTSE 100 growth stocks are on my buy list appeared first on The Motley Fool UK.
The Telegraph
Questor: Keep a keen eye on this investment trust about to hit the FTSE 100
Consolidation in the fragmented £273bn investment trust sector has taken a decisive turn with two of the biggest listed global funds held by private investors agreeing to merge.
Fool.co.uk
Down 14% last month! What’s going on with the share price of this FTSE 250 British icon?
The FTSE 250 slipped 3.5% in June as the UK market headed towards the summer. But this one stock bore the brunt of the losses. The post Down 14% last month! What’s going on with the share price of this FTSE 250 British icon? appeared first on The Motley Fool UK.
Fool.co.uk
FTSE shares are on fire but these 2 are down by over 10% in 2024. I’d buy them today!
Even with the FTSE flying, these two stocks have struggled. But this Fool senses an opportunity. He'd buy them today if he had the cash. The post FTSE shares are on fire but these 2 are down by over 10% in 2024. I’d buy them today! appeared first on The Motley Fool UK.
The Telegraph
Buy British, banks tell stock traders ahead of predicted Labour landslide
Traders are being urged to buy British stocks and bonds amid predictions of a crushing Labour election victory.
Fool.co.uk
These value stocks are predicted to soar by more than 20%!
This Fool has his eye on these two value stocks that have impressive 12-month price targets. Here he explores them in further detail. The post These value stocks are predicted to soar by more than 20%! appeared first on The Motley Fool UK.
Fool.co.uk
The Vodafone share price is down nearly 50%. Is it a sleeping giant or one to avoid?
Vodafone has lost 50% of its value in five years. Its share price looks cheap on paper. But this Fool still doesn't plan on buying any shares. The post The Vodafone share price is down nearly 50%. Is it a sleeping giant or one to avoid? appeared first on The Motley Fool UK.
Fool.co.uk
Will the Vodafone share price ever reach £1 again?
Since last being over 100p in February 2023, the Vodafone share price has fallen 30%. Our writer wonders if a return to three figures is on the cards. The post Will the Vodafone share price ever reach £1 again? appeared first on The Motley Fool UK.

Sunak and Starmer vote as UK goes to the polls

DWP urged to 'explain' new Universal Credit rule after 180,000 see benefits axed

Latest stories

Personal finance expert says people are making £20,000 savings mistake

How to shield your savings from a Labour tax raid

Universal Credit warning to thousands as 180,000 have benefits stopped

Russia's war-driven economy is so hot that the World Bank upgraded it to a 'high-income country'

What Labour has in store for your pension

Elon Musk vows Bill Gates will be ‘obliterated’ if he doesn’t stop shorting Tesla

Labour’s secret tax plans – explained

Nvidia Is the Fifth Most Profitable Company in the S&P 500. Here Are the 4 That Beat It.

I think this is the best dividend stock to buy in the FTSE 250. And it’s dirt cheap!

A rare chance to buy one of the best dividend shares on the market?

Warren Buffett's Weekly Dividend Earnings Exceed $47 Million: The Top 3 Stocks Driving His Wealth

Steve Ballmer, who was once Bill Gates’ assistant, is now richer than his onetime mentor

If a market correction is on the way, these FTSE 100 growth stocks are on my buy list

Questor: Keep a keen eye on this investment trust about to hit the FTSE 100

Down 14% last month! What’s going on with the share price of this FTSE 250 British icon?

FTSE shares are on fire but these 2 are down by over 10% in 2024. I’d buy them today!

Buy British, banks tell stock traders ahead of predicted Labour landslide

These value stocks are predicted to soar by more than 20%!

The Vodafone share price is down nearly 50%. Is it a sleeping giant or one to avoid?

Will the Vodafone share price ever reach £1 again?