The Division for Work and Pensions (DWP) has now restarted the ‘managed migration’ technique of shifting legacy profit claimants over to Common Credit score, with the intention of finishing the switch for two.6 million individuals over the subsequent two years.
In new steerage issued right this moment, the DWP confirmed it's writing to claimants whose Tax Credit or older-style advantages are ending, warning that “you need to declare Common Credit score by the date on the letter to proceed getting monetary assist”.
Nevertheless, the DWP just lately confirmed that simply 500 individuals will initially be moved to Common Credit score via the managed migration course of, which can enhance over the approaching months to be able to full the transfer for all claimants by the tip of 2024.
As much as 2.6 million individuals on older type advantages together with 1.2m presently claiming Earnings-Associated Employment and Help Allowance (ESA) and a million on Working Tax Credit and Baby Tax Credit, 100,000 on Earnings-Based mostly Jobseeker’s Allowance (JSA) and Housing Profit, plus 200,000 on Earnings Help will obtain these letters, or ‘Migration Notices’ over the approaching months.
The brand new steerage explains which advantages are ending and why individuals on them want to say Common Credit score. It additionally outlines find out how to make a brand new declare and the main points you will want.
The DWP additionally goes into element about when claimants have to take motion to stop funds being stopped.
The steerage states: “To proceed receiving monetary assist you need to declare Common Credit score by the deadline date given in your letter. That is 3 months from the date the letter was despatched out.
“This offers you time to assemble any info and proof, reminiscent of identification paperwork that you might want to make your declare.
“It might take time to assemble all of your paperwork and proof to make your declare on-line, so you might want to act as quickly as potential.”
It provides that in the event you can't declare Common Credit score by the deadline date given in your letter, you need to contact the Common Credit score Migration Discover helpline as quickly as potential.
It mentioned: “We will solely provide you with extra time to make a declare when you have good motive. You should request this earlier than the deadline date in your letter.”
Closing funds for present legacy advantages
The DWP migration steerage explains that the date of ultimate funds from present advantages will depend on whichever is first of both:
- the deadline date in your letter
- whenever you make a declare to Common Credit score
It provides that any additional funds are due, they are going to be made shortly after your entitlement ends.
Tax Credit
In case you declare Tax Credit, your entitlement will finish as quickly as you make a declare to Common Credit score.
DWP advises: “If you don't make a declare by the deadline, your tax credit score entitlement will finish on the day earlier than the deadline.”
Different advantages
The final fee dates are completely different in the event you obtain the next advantages:
- Housing Profit
- Earnings Help
- income-based Jobseeker’s Allowance
- income-related Employment and Help Allowance
Your entitlement to those advantages will proceed for 2 weeks after you will have made a declare to Common Credit score.
This implies you might obtain funds out of your present advantages for one more two weeks after you’ve made your declare - if any additional funds are due, they are going to be made shortly after your entitlement ends.
If you don't make a declare to Common Credit score by the deadline, your final day of entitlement to your present advantages might be two weeks after the deadline.
First Common Credit score fee due date
It normally takes round 5 weeks for the DWP to course of your first Common Credit score fee.
In case you need assistance along with your dwelling prices whilst you wait on your first fee, you possibly can apply for an advance via your Common Credit score on-line account - extra particulars on this may be discovered right here.
How a lot you're going to get on Common Credit score
The DWP steerage states that on Common Credit score, most individuals might be entitled to the identical quantity they obtained from their earlier advantages, or extra.
“If the quantity you might be entitled to in your present advantages is greater than you're going to get on Common Credit score, a high up is accessible. That is known as transitional safety,” DWP mentioned.
Nevertheless, you possibly can solely get this when you have obtained a Migration Discover letter and declare by the deadline date in your letter.
In case your circumstances change earlier than you make your declare, this will likely have an effect on the quantity you get.
DWP provides: “It's best to declare as quickly as potential to ensure the quantity you might be presently entitled to may be protected.
“Any transitional safety you obtain as a part of your Common Credit score declare could cease when you have a change in circumstances when you’ve made your declare.”
Common Credit score funds are made up of a typical allowance and any additional quantities that apply.
This contains in the event you:
- have kids
- have a incapacity or well being situation which prevents you from working
- need assistance paying your hire
Profit calculators
A advantages calculator can work out how a lot monetary assist you might get on Common Credit score.
These are free to make use of, neutral, confidential and nameless.
The calculators don't embody:
- any high up quantity (transitional safety) that you could be obtain
- any deductions for a debt
- safety for individuals receiving Tax Credit with greater than £16,000 in financial savings or capital
If the calculation exhibits that you'll obtain lower than your present advantages, you might obtain a high up. Any deductions will then be taken out of your funds.
Discover out extra about advantages calculators under.
Turn2us
Info on income-related advantages, Tax Credit, Council Tax Discount, Carer’s Allowance, Common Credit score and the way your advantages might be affected in the event you begin work or change your working hours.
Coverage in Observe
Info on income-related advantages, Tax Credit, contribution-based advantages, Council Tax Discount, Carer’s Allowance, Common Credit score, how these are calculated and the way your advantages might be affected in the event you begin work or change your working hours.
entitledto
Info on income-related advantages, Tax Credit, contribution-based advantages, Council Tax Discount, Carer’s Allowance, Common Credit score and the way your advantages might be affected in the event you begin work.
What you will want
You'll need correct details about your:
Financial savings
Earnings, together with your companion’s
Present advantages and pensions (together with anybody dwelling with you)
Outgoings (reminiscent of hire, mortgage, childcare funds)
Newest Council Tax invoice
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