DWP update as it reaches 'final stages' of axing six benefits for good

The Department for Work and Pensions has issued a major update over a Universal Credit shake-up ahead of six benefits being axed for good. The DWP says two million people on six legacy benefits are gradually moving to Universal Credit under a process known as managed migration.

The DWP has announced that the final batch of migration notices for five of the following benefits will be sent out by the end of December 2024: Working tax credits, Child tax credits, Income-based jobseeker's allowance, Income support, Housing benefit (for those under the State Pension age).

These five benefits will be permanently discontinued in April 2025. Once it is your turn to move to Universal Credit, you'll be sent a “migration notice” letter in the post which will give you three months to switch to Universal Credit.

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Your existing benefits will be stopped after this time. But if you believe you’ll be better off on Universal Credit, you could decide to move over before you receive your “migration notice” from the DWP. You need to do your research first though, as you won’t be able to move back to your existing benefits once you’ve made the move.

The Department for Work and Pensions (DWP) claims 1.4million people (55%) will be better off on Universal Credit, and 900,000 (35%) would be worse off. The other 300,000 benefit claimants will see no change. You should use one of the following free benefit calculators to get a rough idea about whether you will be better on Universal Credit.

If you are moved over to Universal Credit through managed migration, and you'll be worse off, you will get monthly transition payments to cover any financial shortfall. The transitional protection lasts until there is no difference between the amount awarded under Universal Credit and what you received before under legacy benefits.

You only get the transitional payments if you are moved across by the DWP through the "managed migration" process. Again, always speak to a benefits advisor if you are unsure of how your payments will be affected.