Pensioners have received urgent letters from the DWP as as their benefits are being phased out.
Tax Credits ended on April 5, 2025, the first of this year's legacy benefit closures. Housing Benefit is also ending and is being replaced by Universal Credit (except in certain circumstances).
Claimants must switch to Universal Credit when they receive their migration notice letter, or payments will cease, and time is fast running out.
Those who miss their deadline date can still move to Universal Credit later, but they won't receive important financial protections designed to prevent them from losing money.
These rules only apply to those who receive a letter - and the protection helps those who receive less under Universal Credit than their current benefits. For example, if someone receives £600 from Tax Credits but would only be entitled to £400 under Universal Credit, they can receive a £200 top-up to maintain their current level.
Transitional protection sounds short-term, but it actually lasts until the amount you get in Universal Credit is more than the amount you used to get on your old benefits – for example, because Universal Credit amounts are increased in line with inflation each year, or you become eligible for more support.
But, it only continues while your circumstances stay the same - and can be lost due to a significant life change that causes your eligibility to be reassessed – for example, you move in with a partner.
What is Managed Migration?
The move is part of the DWP's ongoing managed migration programme, which aims to move all claimants of legacy benefits to Universal Credit by March 2026. The full details are listed here.
These include
- Child Tax Credits
- Housing Benefit
- Income-based Jobseeker's Allowance
- Income-related Employment and Support Allowance
- Income Support
- Working Tax Credits
There has been significant confusion about the transition process, with many recipients at risk of losing their transitional protection if they fail to respond within three months of receiving their notice.
The DWP plans to send migration notices to all legacy benefit claimants by the end of this year. The migration notice will detail the exact date one needs to make a claim.
Those needing assistance with their migration can contact the Universal Credit Migration Notice Helpline.
Recommended reading:
- Calls to fund Winter Fuel Payments by cutting MPs' expenses
- Have kids aged 15 - 46? HMRC could owe you thousands - here's how to check
Housing Benefit managed migration letters
Housing Benefit will be ending, apart from in the following circumstances:
-
you’re in supported or temporary accommodation your Housing Benefit will continue and will not end
-
if you do not get Universal Credit or stop claiming Universal Credit you’re eligible to reclaim Housing Benefit
You’re in supported or temporary accommodation
If you get Housing Benefit and you’re not sure if you live in supported or temporary accommodation, speak to your local council.
New @mmhpi research warns that government’s planned PIP reforms will have a “catastrophic impact” on people’s finances and mental health, and could drive people out of the workplace.
— Martin Lewis (@MartinSLewis) June 5, 2025
It says "A system which was already doing a poor job of understanding how mental health…
Reclaiming Housing Benefit
Your Housing Benefit will be ending 2 weeks after your deadline date. However, you may be eligible to reclaim Housing Benefit within 3 months if:
- your Housing Benefit is stopped, and you have not claimed Universal Credit
- you claimed before your deadline date but were not entitled to Universal Credit
- you stop receiving Universal Credit
You can get advice from your local council about backdating your Housing Benefit claim. Your claim can only be backdated for up to 3 months.
Find out more about Housing Benefit eligibility.
Claiming Pension Credit instead of Universal Credit
You can choose to claim Pension Credit instead of Universal Credit. If your claim to Pension Credit is accepted, you:
- cannot then apply for Universal Credit
- will not get Pension Credit transitional protection
- may receive less financial support
Find out more about Pension Credit. You can also use the Pension Credit calculator to work out how much you might get.
Pension Credit is one of the most underclaimed benefits, and is the gateway to lots of pension age means-tested benefits, such as Winter Fuel Payments, so it's important to claim.
What you get if you receive a DWP managed migration notice
On Universal Credit, most people are entitled to the same amount they received from their previous benefits, or more.
Your Universal Credit payment is made up of a standard allowance and any extra amounts that apply to you, for example if you:
- have children
- need help paying your rent
- have a disability or health condition which prevents you from working
If you have a disability or health condition which means you get a disability benefit, you may get an extra amount of Universal Credit. You do not need to provide a fit note or have a Work Capability Assessment (WCA).
Removal of the benefit cap
The benefit cap is normally applied to Universal Credit and other benefits. This is a limit on the total amount of benefit you can get. However, the benefit cap does not apply if:
- you’re State Pension age
- you’re still working
- you received a Migration Notice letter
If the amount you were entitled to on tax credits was more than you get on Universal Credit, you get a top up.
It’s paid to you automatically if you got a Migration Notice letter and made a Universal Credit claim by your deadline date.
Share