Deadline Looms for Switching to Universal Credit
People on Child and Working Tax Credits, Jobseeker’s Allowance (JSA), Income Support, and Housing Benefit must switch to Universal Credit within two years or lose their benefits. The government postponed the deadline from early 2022 due to Covid-19 but has now set the cutoff for the end of 2024.
What’s Changing?
- All existing legacy benefits – Child and Working Tax Credits, JSA, Income Support, Housing Benefit – will end by 2024.
- Employment and Support Allowance (ESA) will continue until 2028 before fully rolling into Universal Credit.
The Department for Work and Pensions (DWP) wants to ditch the old “complex and inefficient” systems and replace them with Universal Credit, which it calls a “modern, digital, and user-friendly” service.
Government Push for Universal Credit
“Over five million people are already supported by Universal Credit,” said former Work and Pensions Secretary Thérèse Coffey. “It’s a dynamic system that adjusts as people’s earnings change and simplifies support for those unable to work.”
“Parliament voted in 2012 to scrap the tangled web of six legacy benefits. Now, as we near the finish line, we are fully transitioning to a 21st-century benefits system.”
Act Now or Lose Out
New claimants are automatically placed on Universal Credit. But those who applied before 2013 and haven’t switched yet must do so by the deadline or risk getting nothing.
When claimants switch to Universal Credit, their old benefits stop automatically. Beware: there could be a five-week wait before payments start.
Good news – if you think Universal Credit will benefit you, you don’t have to wait to be told. You can switch anytime.
