A warning has been issued to benefit claimants who are being moved to Universal Credit(Image: PlymouthLive)

DWP issues new Universal Credit warning urging benefit claimants to take action or risk losing cash

Tax credits are closing in April 2025 and customers must respond to their Universal Credit migration notices to continue receiving benefits

by · ChronicleLive

The Department for Work and Pensions has issued a fresh warning to tax credit claimants asking them to take action or risk losing their benefit payments.

People who receive tax credits are being transferred over to Universal Credit as they are ending in April 2025. Anyone affected will be sent a ‘migration notice’ by DWP to apply for Universal Credit as the department continues to transition over a million claimants on legacy benefits.

The DWP has explained that legacy benefits, such as tax credits, housing benefit, income support, jobseeker’s allowance and income-related employment and support allowance, are being phased out to bring Government financial support into one place. Officials say the majority of people will not be worse off under Universal Credit.

However, customers must respond to their migration notices to continue receiving benefits. Those affected have three months from the date on their migration notice to apply for Universal Credit.

Anyone who needs support is encouraged to contact DWP for a smooth transition before their deadline. More information can be found at: Move to Universal Credit if you get a Migration Notice letter - GOV.UK.

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Sir Stephen Timms, minister for social security and disability, said: "Having three months to make a move may feel like a long time but life can often distract you elsewhere. For the best chance to secure your benefit entitlement don’t delay with responding to your migration notice. We are committed to ensuring a smooth transition and customers will have the full support of DWP staff to help manage this change."

People do not need to take action until they receive their migration notice letter from the DWP. Between July 2022 and June 2024, more than 1.1m people were sent migration notices.


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