Universal Credit switch warning for 400,000 households after 380,000 have benefits stopped by ignoring key letter
We've explained exactly what you need to do
TAKE NOTE Universal Credit switch warning for 400,000 households after 380,000 have benefits stopped by ignoring key letter
THOUSANDS of households on Universal Credit are being warned not to ignore a key letter.
The warning comes as the government progresses with its plans to transfer all legacy benefit claimants onto Universal Credit, through a process referred to as "managed migration."
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Around 400,000 more households receiving income-related ESA are now being urged to make the move to Universal Credit
Credit: Alamy
The managed migration process officially began back in July 2022 after a successful pilot in July 2019.
Since then, households receiving one of five legacy benefits, have been receiving postal notifications outlining the steps required to transition to Universal Credit.
Upon receiving a migration letter, claimants are given up to three months to make the switch.
Failure to act within this timeframe could result in the loss of existing benefits.
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The latest data from the Department for Work and Pensions (DWP) shows that 381,440 individuals lost their benefits after failing to act within this time frame.
Around 400,000 more households receiving income-related employment and support allowance (ESA) are now being urged to make the move to Universal Credit.
ESA provides financial support for those unable to work due to illness or disability.
Initially, the government planned to transfer all ESA claimants to Universal Credit by the end of 2028.
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However, this deadline was brought forward to March 2026.
To date, 200,000 claimants have successfully transitioned to Universal Credit, leaving approximately 400,000 still to make the switch.
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Last week, The Sun revealed that the DWP is increasing the number of migration notices sent each month to 83,000.
The DWP has already closed new claims for four legacy benefits - tax credits, income support, income-based jobseeker's allowance, and housing benefit.
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This stepped-up approach means the DWP aims to have contacted all remaining legacy ESA claimants by September 2025
The move is designed to provide households with sufficient time to successfully transition to Universal Credit before the March 2026 deadline.
Which benefits are stopping?
UNIVERSAL Credit is replacing six benefits under the old welfare system, commonly called legacy benefits. They are: Working tax credit
Child tax credit
Income-based jobseeker's allowance
Income support
income-related employment and support allowance
Housing benefit
If you're on any of these benefits now, you can choose to move over - but you might not be better off.
You should consider carefully what moving over means for your money, as you can't move back once you're on Universal Credit.
Using an online benefits calculator, which is free and easy to use from charities such as Turn2Us and EntitledTo, can help you compare.
You may be moved to Universal Credit if your circumstances change, such as moving home, changing your working hours, or having a baby.
But eventually, everyone will be moved over to Universal Credit under the managed migration process.
HELP CLAIMING UNIVERSAL CREDIT
As well as benefit calculators, anyone moving from Tax Credits to Universal Credit can find help in a number of ways.
You can visit your local Jobcentre by searching at find-your-nearest-jobcentre.dwp.gov.uk/.
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There's also a free service called Help to Claim from Citizen's Advice:
England: 0800 144 8 444
Scotland: 0800 023 2581
Wales: 08000 241 220
You can also get help online from advisers at citizensadvice.org.uk/about-us/contact-us/contact-us/help-to-claim/.
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