More than 300,000 households across the UK have seen their benefits payments stopped after failing to meet the deadline to transition to Universal Credit, according to the latest figures from the Department for Work and Pensions (DWP). As of the end of September, a total of 318,834 claimants had their benefits stopped, up from 284,660 at the end of August.
This mass migration, known as “managed migration,” is part of the government’s plan to phase out six legacy benefits, including Child Tax Credit, Housing Benefit, Income Support, Income-based Jobseeker’s Allowance (JSA), Income-related Employment and Support Allowance (ESA), and Working Tax Credit. Between July 2022 and September 30, 2024, the DWP issued around 1.4 million migration notices to those on legacy benefits, advising them to switch to Universal Credit.
Recipients of these notices have three months from the date on their letter to complete their migration to Universal Credit or risk losing their benefits. This deadline is clearly stated on each letter, and failing to respond results in the automatic stoppage of payments.
Impact on Benefits
The switch to Universal Credit may impact recipients’ financial situations. While some may find they are eligible for higher payments, others may experience a reduction. To mitigate potential losses, the DWP has introduced “transitional protection” top-up payments for eligible claimants. These top-ups ensure that claimants whose benefits decrease will continue to receive the same amount until their Universal Credit entitlement matches or exceeds their previous payments.
DWP guidance states, “Most people will be entitled to the same amount they received from their previous benefits or more on Universal Credit. If the amount you are entitled to on your existing benefits is more than you will get on Universal Credit, a top-up is available.”
However, transitional protection only applies to those who respond to their migration notice by the specified deadline. It may be impacted if a claimant’s circumstances change after making their claim.
What to Do If You Receive a Migration Notice
The DWP urges anyone receiving a migration notice to act promptly. Claimants should transition to Universal Credit as soon as possible to ensure their current benefit levels are protected. For those whose benefits are reduced, the top-up payments will help bridge the gap until their Universal Credit entitlement aligns with their previous benefits.
This managed migration is part of the government’s larger goal to simplify the benefits system, but it has faced criticism for the risk it poses to vulnerable individuals who may struggle to respond within the deadline. For guidance on the transition process, claimants are encouraged to contact DWP directly or seek support from relevant charities and advice organisations.
