DWP sends important letter to millions of Brits ahead of massive benefits shake-up

The Department for Work and Pensions (DWP) is currently moving millions of benefit claimants onto Universal Credit from older "legacy benefits" before they are closed for good

The Department for Work and Pensions (DWP) has issued a fresh six-month warning to millions of Brits claiming benefits. Tax Credits are set to end permanently from April 2025, meaning that Tax Credit claimants have just six months left to transition to Universal Credit payments before their current benefits are halted indefinitely.

As part of its "Managed Migration" programme, the DWP will send a Migration Notice in the post when it's your turn to switch over. This initiative is the DWP's effort to transition those claiming older "legacy benefits" onto Universal Credit.

The benefits affected by this change include Tax Credits, Housing Benefit, Income Support, Jobseeker's Allowance and Income-Related Employment and Support Allowance. From September, the DWP began sending letters about the transition to those claiming state pensions on Tax Credits, Income-based JSA, ESA, and ESA with Housing Benefit.

Upon receiving the letter, claimants will need to apply for Universal Credit within three months. Failure to do so will result in the termination of their benefit claim.

In a recent update, the DWP cautioned that while three months might "feel like a long time", life can get in the way and claimants could risk finding themselves in a difficult situation. Consequently, the DWP has urged claimants to take action "straight away", reports the Mirror.

All migration notices will be dispatched to claimants by the end of December 2025, the DWP has confirmed. If you are receiving one of the benefits due to be phased out, there's no need for immediate action until your Migration Notice is received.

To make a Universal Credit claim, you can do so online or by phone using the dedicated helpline at 0800 169 0328, or seek assistance at your local Job Centre. After submitting your claim, expect a five-week wait for the initial Universal Credit payment, which will then continue regularly unless your situation alters.

The DWP has been gradually replacing legacy benefits, with 2.6 million individuals still on old-style benefits in the UK as of 2022. Between July 2022 and June 2024, around 1.1 million people have been issued migration notices.

Sir Stephen Timms, the 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."