Exact locations where major benefit and Universal Credit shake-up starts this month

A MAJOR change to benefits will start this month affecting millions of people.

The move to the new welfare system where you get Universal Credit will start for many on legacy benefits.

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Legacy benefits include tax credits, jobseekers allowance and income support.

There are an estimated 2.6million on six old style benefits, and they will need to move to Universal Credit by the end of 2024.

That’s the exact date when the government aims to get everyone switched over.

Managed migration will start from May, initially with 500 people in two locations – Medway and Bolton.

That means they will be invited to move from their current benefits to Universal Credit.

Anyone who has a change of circumstances can already be switched over, for example if moving house or having a baby, and that’s still the case.

Around 1.4million on benefits could be better off now by moving on to Universal Credit, to the tune of £220 a month on average.

Anyone in this circumstance can move now – they don’t have to wait to be invited.

But you should check very carefully before moving that you will be better off as you can’t move back.

Around 900,000 won’t be better off and must wait to be invited to ensure they get top up payments that mean they won’t lose out in they short term.

A free online benefits calculator can help you compare. You can find them from charities such as Turn2Us and EntitledTo, and it’s also worth asking them for advice.

Citizens Advice also has a Help to Claim service to support Universal Credit claims.

A further 300,000 will see no change to the amount they get, according to government estimates.

Exactly when you’ll be invited if you don’t choose to move, or switch through a change in circumstance will depend.

After the initial group of 500, managed migration will be expanded to more people in more areas.

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.

You can already be moved over if you have a change of circumstances, like having a baby or moving house.

If you think you’ll be better off you can start making a Universal Credit claim and your old benefits will end.

You will have a wait for your first Universal Credit payment, which could be up to five weeks and could leave you short.

You can get an advance, which is interest-free, but you’ll pay this back in instalments from future payments which will reduce how much you get each month.

You can read more about Universal Credit advance payments in our guide.

A change to the taper rate at the end of 2021 means that some people on legacy benefits could now be better off claiming Universal Credit.

This post first appeared on thesun.co.uk