The Department for Work and Pensions (DWP) has issued a warning to state pensioners who have received a letter about Universal Credit. The department has revised its guidance for people who have reached State Pension age and received a Migration Notice, explaining how the changes could affect their current benefits, what financial support they may be entitled to and the steps required to ensure payments continue.
State pensioners who receive a letter from the DWP instructing them to switch to Universal Credit are being warned not to ignore the notice, as missing the deadline could result in their benefit payments stopping altogether.
Wider welfare reform programme
The update forms part of the Government's wider welfare reform programme, which is gradually replacing legacy benefits with Universal Credit. Several older schemes, including Tax Credits, Income-based Jobseeker's Allowance and Income Support, have already been abolished, while Housing Benefit is also being withdrawn for most new claims.
Anyone who receives a Migration Notice must submit a claim for Universal Credit by the deadline specified in their letter if they wish to continue receiving financial assistance. The guidance applies across England, Scotland and Wales, while separate arrangements are in place for Northern Ireland.
Housing Benefit exceptions and transitional protection
For most people issued with a Migration Notice, Housing Benefit will come to an end, even if they choose not to move to Universal Credit. However, exceptions remain for individuals living in supported or temporary accommodation, whose Housing Benefit can continue to be administered by their local authority.
Those whose Housing Benefit stops may be able to reclaim it within three months if they did not apply for Universal Credit, were found ineligible despite applying before the deadline, or have subsequently stopped receiving Universal Credit. The DWP says most people moving to Universal Credit will receive the same amount as they got from their previous benefits, or more, supported by a system known as 'transitional protection'.
