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DWP: Tax Credits and Income-based JSA Replaced by Universal Credit

The Department for Work and Pensions (DWP) has confirmed that Tax Credits, Income-based Jobseeker's Allowance (JSA), and Income Support have been replaced by Universal Credit. Other benefits, including Employment and Support Allowance (ESA), are also ending soon.

  • Tax Credits, Income-based Jobseeker's Allowance (JSA), and Income Support have been replaced by Universal Credit.
  • Individuals receiving a Migration Notice letter must claim Universal Credit by their deadline date to continue financial support.
  • Transitional protection payments are available automatically for those who claim by the deadline and whose existing benefits exceed their Universal Credit entitlement.

The Department for Work and Pensions (DWP) has announced that several benefits, including Tax Credits, Income-based Jobseeker's Allowance (JSA), and Income Support, have ended and been replaced by Universal Credit. Other benefits are also set to conclude soon.

Individuals who have received a Migration Notice letter are required to claim Universal Credit by the deadline specified in their letter to ensure continued financial support. Failure to do so will result in their existing benefits ending.

For those moving from Employment and Support Allowance (ESA), medical evidence such as fit notes or a Work Capability Assessment (WCA) may not be required if they move without a break, have already completed a WCA, and were in the 'support group' or 'work-related activity' group in ESA.

Most people transitioning to Universal Credit are expected to receive the same amount or more than their previous benefits. A 'transitional protection' top-up payment is available automatically if the amount entitled from existing benefits is greater than the Universal Credit entitlement, provided the claim is made by the deadline date.

Universal Credit payments are calculated monthly based on individual circumstances, which differs from the yearly calculation of tax credits. Changes in circumstances can affect the payment for the entire assessment period.

Why this matters: The transition to Universal Credit affects recipients of various legacy benefits, requiring them to take action to maintain financial support.

What this means for you: If you have received a Migration Notice letter, you must claim Universal Credit by the deadline date to continue receiving financial support. If you cannot claim by the deadline, you may contact the Universal Credit Migration Notice Helpline to request more time.

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