Tens of thousands of households on benefits risk having their payments stopped before Christmas unless they take urgent action.
This warning comes as the Government continues to move all two million claimants on legacy benefits to Universal Credit by the end of March 2025 through a process known as managed migration.
Universal Credit is replacing six benefits under the old welfare system under a transition that began in November 2022.
As part of this process, households on legacy benefits, including tax credits, receive migration notices by post. These transitions are not automatic and people will only continue to receive benefits, under the heading of Universal Credit, is they follow the instructions in the letters from the DWP.
Households must apply for Universal Credit within three months of receiving their migration notice and a failure to do so can result in their benefit payments being stopped.
This is a serious threat given that over 284,660 individuals have already lost their benefits after failing to switch to Universal Credit within the three-month deadline.
The latest migration notices are being sent to over 800,000 households who claim employment and support allowance (ESA).
This means people who received one in September or at the beginning of October must take action to be switched to Universal Credit before Christmas, or before your three-month deadline is up.
A failure to meet the deadline set out in the migration notice means claimants could be without this income during the festive period.
A DWP spokesperson said: “We are committed to ensuring all customers receive the support they need from our staff and services.
“The department has a wide range of support available to all individuals, particularly those who are vulnerable.”
Alongside the migration of people across certain benefit types, the DWP may also move claimants toUniversal Credit if their circumstances change, such as moving home, changing your working hours, or having a baby.
Which benefits are stopping?
Universal Credit is replacing six benefits under the old welfare system, commonly called legacy benefits. They are:
Working tax credit
Child tax credit
Income-based jobseeker’s allowance
Income support
income-related employment and support allowance
Housing benefit
If you are on any of these benefits now, you can choose to move over even if you do not get a migration notice, however you might not be better off. The DWP has transitional support for people who lose out in these circumstances.
People who choose to transfer should consider carefully what moving over means, as they can’t move back once you’re on Universal Credit.
Using an online benefits calculator, which is free and easy to use from charities such as Turn2Us and EntitledTo, can help to make a comparison. Details can be found here.
