Two benefits, Income Support and income-based Jobseeker's Allowance, have officially ceased today, marking a significant step in the government's long-term strategy to modernise the welfare system. The closure follows the successful delivery of the Department for Work and Pensions' (DWP) 'Move to Universal Credit' campaign, which has encouraged claimants to transition to the newer, consolidated benefit.
Income Support was introduced in 1988, replacing Supplementary Benefit, and was designed to help people on low incomes who were not expected to look for work, such as lone parents or those with disabilities. Income-based Jobseeker's Allowance, established in 1996, provided financial support to unemployed individuals actively seeking work, with eligibility based on income and savings rather than National Insurance contributions. Both benefits have been gradually phased out since the introduction of Universal Credit in 2013, which aims to simplify the welfare system into a single monthly payment.
The DWP's 'Move to Universal Credit' campaign involved directly contacting claimants of these legacy benefits, providing information and support to help them transition to the new system. Claimants were given a deadline to apply for Universal Credit, with the understanding that their existing benefits would cease. The department emphasised the importance of making the move to ensure continued financial support and to avoid any potential disruption to payments.
The closure of these benefits is part of a broader government initiative to streamline the benefits system, reduce administrative complexity, and ensure that support is delivered more efficiently. Universal Credit combines six legacy benefits into one, including Child Tax Credit, Working Tax Credit, Housing Benefit, and income-related Employment and Support Allowance, alongside Income Support and income-based Jobseeker's Allowance.
This move is intended to make the system easier for claimants to navigate and for the DWP to administer, ultimately leading to cost savings and improved service delivery in the long run. While the transition has faced scrutiny, the DWP maintains that Universal Credit offers a more flexible and responsive system that better supports individuals into work.