New update for people on legacy benefits due Universal Credit Migration Notice letter from DWP this year
29.02.2024 - 13:49
/ dailyrecord.co.uk
A fifth of households claiming legacy benefits have had them stopped after failing to switch to Universal Credit before the deadline on the Migration Notice letter, a new report has found. The National Audit Office (NAO) called on the UK Government to ensure people are getting the benefits they are entitled to as the Managed Migration process of moving people from the older benefits system continues.
By the end of the 2024/25 financial year, the Department for Work and Pensions (DWP) plans to have completed the remaining moves for those on Tax Credits, including those on both Employment and Support Allowance (ESA) and Tax Credits. This also includes people on Income Support and Jobseeker’s Allowance (Income Based) and all Housing Benefit-only cases.
Around 800,000 ESA cases, including those claiming both ESA and Housing Benefit, will remain after 2024/25, with the managed migration of these cases being delayed until 2028/29 as outlined in the 2022 Autumn Statement.
A new plan was announced in 2010 to reform the welfare system by introducing Universal Credit as an integrated benefit. As of March last year, the NAO said some 2.2 million households were still receiving legacy benefits - such as Working Tax Credit, Child Tax Credit, Housing benefit, Income Support, Income-Based Jobseeker’s Allowance, and Income-Related ESA.
The NAO report said that by December, there were 6.3 million people claiming Universal Credit across Great Britain. However, it warned that 21 per cent of households claiming legacy benefits have not transferred to Universal Credit after receiving a Migration Notice letter to switch, and have had these older benefits stopped.
Almost all of these households had been receiving Tax Credits, the report said.