In a pivotal move, set to revamp the welfare framework, the Department for Work and Pensions (DWP) is proactively sending out letters to legions of benefit claimants. As we head into April, a three-month grace period has been rolled out by the DWP before Tax Credits begin to be phased out, an integral component of its “Managed Migration” agenda that seeks to consolidate six existing “legacy benefits” into one streamlined Universal Credit system.
Up for transformation include Tax Credits, Child Tax Credits, Income-based Jobseeker’s Allowance (JSA), Income Support, Housing Benefit, and Income-related Employment and Support Allowance (ESA).
With this Managed Migration strategy kicking up a gear in September 2024 following its initial phase in 2022, claimants still utilising the old benefits are receiving “migration notices”. These critical advisories inform individuals of their three-month window to submit a Universal Credit application or otherwise face termination of their current aid.
The axing of Tax Credits comes into effect this April, with no new applications to be entertained thereafter; the DWP is on a mission to guarantee migration notices reach every Tax Credit beneficiary.
Sir Stephen Timms, Minister for Social Security and Disabilities, issuing a stark warning about the necessity of a swift transition, underscores urgency and forward planning for families as the year unfolds, the Mirror reports.
“With this in mind, I encourage everyone who has received a migration notice to act as quickly as possible and move onto Universal Credit. We know how quickly time can pass when you’re busy – and with just three months to go until Tax Credits close on the 5th of April – now is the time to respond to your Universal Credit migration notice to continue receiving benefits.”
The DWP plans to send migration notices to all those claiming legacy benefits by the end of this year, meaning hundreds of thousands of letters will be dispatched over the next 12 months. The benefits department aims to completely phase out all legacy benefits by the end of March 2026.
