DWP Universal Credit News – New Changes & Credit Rate for 2024!

Recently, the UK government has announced Universal credit replacing other benefits that will impact many UK citizens. Thousands of claimants under these benefits would need to shift to Universal Credit to receive the benefits.  

DWP Universal Credit News

The UK government plans to replace the legacy benefits with one simplified Universal credit and the DWP and HMRC plans to shift all the claimants of legacy benefits to Universal credits. 

In April 2022, the DWP focused its attention on moving the families receiving legacy benefits to Universal credits to simplify the payment method with the UC digital system and end the complexities of the legacy benefits. 

The DWP plans to shift the following legacy benefits claimants to UC by the end of 2024:

  • Child Tax credit
  • Income-based Job Seeker’s Allowance (JSA)
  • Housing benefit
  • Working tax credit
  • Income support
  • Employment and Support Allowance (ESA) income-related

Over the years, the UC has helped many households with living costs, it’s paid monthly or twice a month to some specific people. 

The Department of Work and Pensions administers the UC in Great Britain and the Department of Communities administers the UC in Northern Ireland. 

UC replacing the non-means tested benefits for working-age households would be complete when all the claimants were shifted to the UC. In 2023, the DWP sent migration notices to over 500,000 legacy benefits claimants to inform them to shift to UC.

Ways to Shift to Universal credit from legacy benefits 

The claimants can’t make a new claim for these legacy benefits, and if anyone has these legacy benefits going on, they would be shifted to UC in three following ways:

  • DWP sent you the migration notices to claim Universal credit as part of the shift.  Most of the notices have a deadline to claim the Universal credit asking the recipients to claim the UC. 
  • Your circumstances have changed, so you have to claim the Universal credit to receive the applicable benefits
  • When you volunteer to claim the Universal credit, you think it will be better for you. 

In 2023, DWP sent migration notices to more than 500,000 households receiving different legacy benefits. 

Now, the governments will contact the remaining tax credit claimants, JSA claimants, and housing benefit claimants by sending migration notices to around 440,000 claimants by the end of September 2024. 

 

According to the reports, the migration of income-related Employment and Support Allowance (ESA) claimants to the Universal credits which was previously delayed to 2028/2029 would roll out by September 2024. 

The DWP asks the claimants to shift to Universal credits as they are planning to notify the ESA claimants by December 2025. 

How to shift and claim the Universal credits?

People who receive the migration notice or wish to shift to Universal credits must submit their claim online before the deadline mentioned in the migration letter. Usually, the deadline is three months from the date the migration letter is sent to you. 

You can claim the Universal credits online with the following information in hand: 

  • Payslips
  • Email Address
  • Bank, Building society, or credit union account number 
  • Identity proof
  • Housing details
  • Childcare costs
  • Your savings and investment skills

You can submit the claim online by setting up your online Universal Credit account on the official UK government website with the relevant documents and details. After you claim the UC, your other benefits will stop, 

  • tax credits on the day you claim the UC
  • JSA, housing benefits, and ESA would stop after 2 weeks 

The universal credit payment would usually take four to five weeks to be credited to your account. 

Current Universal credit rate for 2024 

The UC claimants would receive the UC payments based on the DWP hike of 6.7% from June 2024. The 2024/25 UC basic rate for adults over 25 years of age is 

  • For single and under 25 claimants £311.68 from the previous £292.11
  • For individuals, over 25 or 25 claimants £393.45 from the previous £368.74
  • For couples when both are under 25, £489.23 from the previous £458.51
  • For couples when one or both are over 25 or 25, £617.60 from the previous £578.82.

If the claimants have a dependent child, they are entitled to the extra monthly amount depending on the age of the child. The claimants can also receive an extra amount through UC for disabled children living with them. 

Universal credit has replaced legacy benefits, so legacy benefits claimants must check if they should shift to UC or not, and the migration notice receivers must shift before the deadline. The DWP ensures the swift to UC from legacy benefits remains as smooth as possible. 

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