The Welfare Reform Act 2012 changed the law, regarding the way financial help for working age customers on a low income who rented their homes was calculated and paid.
Under the new rules, help with rent for this group of people, would move from housing benefit (administered by the local authority) to Universal Credit (administered by the Department of Work and Pensions).
Universal Credit has been replacing the following benefits on a phase basis since April 2013:
- Housing Benefit
- Tax Credits
- Income Support
- Income related Employment and Support Allowance
- Income Based Job Seekers Allowance
In April 2024, the Department of Work and Pensions (DWP) have moved to a new phase on the migration process. This means the DWP will start to contact working age people on legacy benefits to advise them to claim Universal Credit.
Any working age customer who is living in temporary or supported accommodation provided by a registered social landlord will still need to claim housing costs from the Local Authority.
What is Universal Credit?
Universal Credit is currently for working age people who:
- Are on a low income
- Need help with living costs
- Are working or out of work
- Have a health condition that affects their ability to work
It is replacing 6 older benefits and one payment is made someone each month
When someone claims Universal Credit, they are allocated a work coach who can give tailored guidance on improving skills and progressing at work to help support a claimant's family
Will I be moved over automatically?
No you will not be automatically moved over.
Three months before your Housing Benefit is due to end, the DWP will write to you with details of the exact date your Housing Benefit (and any other legacy benefits) is due to end, and what you need to do to claim Universal Credit.
However, if you do nothing your Housing Benefit (and any other legacy benefits you are also receiving), will stop on the deadline date, shown in your letter.
As such you need to make your claim for Universal Credit before the date given in the letter, so that you still receive the help with your rent that you are entitled to.
When you need to apply for Universal Credit
You will receive a letter from the DWP which will be called a Universal Credit Migration Notice and it tells you when you need to move to Universal Credit.
You have 3 months from the date the letter is sent out to you to apply for Universal Credit.
If your Universal Credit entitlement is less than your previous tax credits or benefits you may be eligible for financial protection when you move to Universal Credit. The additional amount is known is known as 'Transitional protection'.
To be eligible for 'transitional protection':
- you must only apply for Universal Credit once you have received your Universal Credit Migration Notice letter
- you must apply before the deadline date in your Universal Credit Migration Notice letter
- there must be no changes in your circumstances
| Your current benefit | When you may get your letter |
|---|---|
| Tax credits with Housing Benefit | From April 2024 |
| Income Support | From April 2024 |
| Housing Benefits only | From June 2024 |
| Income-related Employment Support Allowance with Child Tax credits | From July 2024 |
| Tax credits (Pension Age) | From August 2024 |
| Income-based Jobseekers Allowance | From September 2024 |
| Employment and Support Allowance (ESA) | From September 2024 |
More support and advice
Universal Credit how to claim notes:
Get more help on how to claim and the link to claim.
Universal Credit Helpline:
You can contact the DWP Universal Credit Helpline free on: 0800 328 5644 (textphone: 0800 328 1344).
Helpline opening hours: 8am to 6pm Monday to Friday.
Citizens Advice Bureau (CAB) Help to Claim service:
If you have any difficultly with the online claim process, or concerns about managing your finances you can contact Citizens Advice who offer a ‘Help to Claim’ service.