HALF a million on benefits are set for a huge change this year and should be aware of a key date or risk losing thousands of pounds.
The move, known as managed migration, is seeing 500,000 transferred from old-style legacy benefits to Universal Credit.
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The Government plans to move two million to Universal Credit or Pension Credit by the end of March 2025.
Some 600,000 on old-style benefits, such as those claiming income-related Employment and Support Allowance (ESA) only, will also be moved by 2028.
But there are 500,000 people who will be asked to move to Universal Credit between this month and September.
Eligible households are being contacted via letters in the post which tell them how to make the move to Universal Credit.
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Once you receive a letter, you have three months to move over.
If you do not, your old benefits, usually worth thousands of pounds a year, will stop automatically with no replacement.
That said, if you cannot make your claim for Universal Credit by the deadline, you can ask the DWP for an extension if it’s for a “good reason”.
The number to call is 0800 169 0328, and you must call before the deadline date on your letter.
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From this month those on Income Support with tax credits and Housing Benefit will start getting migration notice letters.
Those claiming housing benefit alone will start getting migration notices from June.
Anyone getting Employment and Support Allowance (ESA) along with child tax credits will start being asked to switch from July.
Those claiming tax credits who are over state pension age will be asked to apply for either Universal Credit or Pension Credit from August.
Are you missing out on benefits?
YOU can use a benefits calculator to help check that you are not missing out on money you are entitled to
Charity Turn2Us’ benefits calculator works out what you could get.
Entitledto’s free calculator determines whether you qualify for various benefits, tax credit and Universal Credit.
MoneySavingExpert.com and charity StepChange both have benefits tools powered by Entitledto’s data.
You can use Policy in Practice’s calculator to determine which benefits you could receive and how much cash you’ll have left over each month after paying for housing costs.
Your exact entitlement will only be clear when you make a claim, but calculators can indicate what you might be eligible for.
Those on Jobseeker’s Allowance will then be issued with migration letters from September.
What is managed migration and who is affected?
Universal Credit is replacing six legacy benefits, under the old benefits system. These are:
- Working Tax Credit
- Child Tax Credit
- income-based Jobseeker’s Allowance
- Income Support
- income-related Employment and Support Allowance
- Housing Benefit.
If you’re on any of these benefits now, you can choose to move over before receiving a managed migration letter.
However, bear in mind that you might not be better off as you can’t move back once you’ve transferred to Universal Credit.
Using an online benefits calculator can help you compare and are free and easy to use from charities such as Turn2Us and EntitledTo, and it’s also worth asking them for advice.
One other circumstance where you might have to move over to Universal Credit is if you have a change in circumstances, like moving home, a change in working hours or having a baby.
Help claiming Universal Credit
As well as benefit calculators anyone moving from tax credits on to Universal Credit can find help in a number of places.
You can visit your local Jobcentre but searching at find-your-nearest-jobcentre.dwp.gov.uk/.
There’s also a free service called Help to Claim from Citizen’s Advice:
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You can also get help online from advisers such as Citizens Advice. You can find your nearest branch by using the online locator tool on its website.
Do you have a money problem that needs sorting? Get in touch by emailing [email protected].
Plus, you can join our Sun Money Chats and Tips Facebook group to share your tips and stories
