Additional DWP Payment Available for Universal Credit Recipients

If your current benefits have ended or are due to end soon, you must apply for Universal Credit before the deadline date stated in your official letter. Missing this step could mean a loss of financial support.

Universal Credit is replacing several legacy benefits, including:

• Housing Benefit
• Income-related Employment and Support Allowance (ESA)
• Income-based Jobseeker’s Allowance (JSA)
• Income Support
• Child Tax Credit
• Working Tax Credit

Understanding Transitional Protection

The Department for Work and Pensions (DWP) offers transitional protection to ensure claimants do not lose out when moving to Universal Credit.

• This payment, called the transitional element, is added if your new Universal Credit amount is lower than your old benefit entitlement.
• If you previously claimed tax credits, the transitional capital disregard allows you to claim Universal Credit even if you have savings or investments over £16,000. This disregard lasts for 12 assessment periods.

You do not need to apply for transitional protection separately. The DWP will issue a Migration Notice instructing you to claim Universal Credit. If you cannot apply before the stated deadline, you should immediately contact the Universal Credit Migration Notice Helpline.

Important Warnings About Changes in Circumstances

The DWP has clarified that significant changes in circumstances before making your Universal Credit claim may affect your entitlement to transitional protection. For example:

• If your relationship status changes before your claim, you may lose eligibility.
• If a new partner moves in and they have not received a Migration Notice, you will not qualify for transitional protection.

How Transitional Protection Payments Work

Transitional protection payments are temporary and can reduce or stop if your Universal Credit increases.

For instance:

• If your entitlement rises because of a change in household circumstances (such as having another child), the transitional element will decrease accordingly.
• Payments decrease in direct proportion to the increase in your Universal Credit amount.

Example Provided by the DWP

• Jane currently receives £800 Universal Credit, including a £200 transitional protection payment.
• When Jane has a second child, her Universal Credit increases by £50.
• Her transitional protection payment reduces by £50, keeping her total payment at £800.

This ensures fairness and prevents duplicate financial support.

Timeline for the End of Legacy Benefits

The final payments of legacy benefits will end in March 2026. Among the last to be migrated are the 800,000 claimants of income-related ESA, either alone or alongside Housing Benefit.

Disputing Transitional Payment Calculations

If you believe your transitional protection payment has been miscalculated, you can request a mandatory reconsideration from the DWP.

Universal Credit Migration Helpline

• Phone number: 0800 169 0328
• Opening hours: Monday to Friday, 8am – 6pm
• Cost: Calls to 0800 numbers are free from both mobiles and landlines

The move from legacy benefits to Universal Credit is a significant change for many households. While transitional protection ensures that claimants do not lose immediate financial support, it is only a temporary safeguard.

Understanding the rules, deadlines, and how payments are adjusted will help you make a smoother transition. Staying proactive and contacting the Universal Credit Migration Helpline if you face challenges is the best way to secure your entitlements.

FAQs