The Department for Work and Pensions (DWP) has confirmed the abolition of two legacy benefits—Income Related Employment and Support Allowance (ESA) and Housing Benefit—after transferring all remaining claimants to Universal Credit. This move affects nearly two million people and marks the closure of these benefits for most working households.
Two Benefits Officially Axed
The DWP announced that the migration of claimants from Income Related ESA and Housing Benefit to Universal Credit is now complete. These benefits are now closed for most working households, following earlier migrations of Child Tax Credit, Working Tax Credit, and Jobseeker's Allowance.
Sir Stephen Timms, Minister for Social Security and Disability, told The Independent: “The successful completion of the move to Universal Credit marks a major milestone, with nearly two million people having now moved on to Universal Credit from legacy benefits, including income-related employment and support allowance and housing benefit, which have now closed for most working households.”
Timeline and Process
Earlier this year, Sir Stephen Timms announced the DWP's intention to close the outdated systems. In a written statement, he said: “On 31st March 2026, we completed the transition of customers receiving Income Support and income-based Jobseekers Allowance to Universal Credit, allowing the Department to close these outdated systems. In addition, I am setting out my intention to close income related Employment and Support Allowance and applicable Housing Benefit on 30th June 2026. Giving sufficient notice and support to some of our most vulnerable customers was important in enabling everyone who wanted to transition to Universal Credit the time needed to make the move.”
Guidance for Claimants
Citizens Advice explains that claimants who receive legacy benefits must move to Universal Credit upon receiving a migration notice. The notice includes a deadline date by which they must claim Universal Credit to continue receiving financial support. Most people claiming these benefits should have received a migration notice by now, as legacy benefits end for most in July 2026.
The DWP's move is part of a broader welfare reform aimed at simplifying the benefits system, replacing multiple legacy benefits with a single Universal Credit payment.
