Hundreds hit by DWP benefits error that could see payments STOP – are you affected?

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HUNDREDS of households person been affected by a DWP benefits error, which could permission them retired of pocket.

It comes arsenic the authorities continues to determination each 2 cardinal claimants connected bequest benefits to Universal Credit by the extremity of March 2025 done a process known arsenic managed migration.

All bequest  legacy benefits volition  beryllium  phased retired  by 2025

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All bequest legacy benefits volition beryllium phased retired by 2025Credit: Alamy

As portion of this process, households connected bequest benefits, including taxation credits, receive "migration notices" by post.

These notices supply instructions connected however to power to Universal Credit, arsenic the transition is not automatic.

Households indispensable use for Universal Credit wrong 3 months of receiving their managed migration letter.

Failing to bash this tin effect in benefits being stopped.

However, a "small number" of the 800,000 connected income-related employment and enactment allowance (ESA) person faced a stumbling artifact erstwhile applying for Universal Credit.

ESA provides fiscal enactment for those incapable to enactment owed to unwellness oregon disability.

According to Department for Work and Pension (DWP) rules, ESA claimants should not beryllium required to supply acceptable notes during the migration process. 

Furthermore, those successful the ESA enactment radical should not beryllium asked to undertake immoderate work-related activities, arsenic their enactment capableness presumption should transportation implicit erstwhile they migrate to UC.

Despite these wide rules, immoderate DWP unit person asked ESA claimants to get acceptable notes from their GPs.

Three cardinal benefits that YOU could beryllium missing retired on, and 1 adjacent gives you a escaped TV Licence

Others person been incorrectly informed that they request to hold to caller enactment commitments earlier making the switch. 

Claimants person been told that nonaccomplishment to supply acceptable notes oregon hold to caller enactment requirements would marque them ineligible for limited capableness for enactment and work-related enactment (LCWRA) payments.

These other payments are worth up to £416 a month.

Similar to Universal Credit, bequest ESA claims dwell of a modular allowance and an further constituent for incapacity for work.

This further constituent - either the work-related enactment constituent oregon the enactment constituent - is being replaced by Universal Credit's LCWRA payments. 

Therefore, if you were already receiving these other components nether ESA, you are not required to taxable a caller acceptable enactment oregon hold to caller enactment requirements to beryllium eligible for LCWRA payments.

Ayla Ozmen, manager of argumentation & campaigns astatine anti-poverty charity Z2K, said: "It's precise concerning to perceive that immoderate disabled radical connected employment and enactment allowance who are being moved connected to cosmopolitan recognition are being asked to look for work.

"Not lone is this unlawful, but it puts disabled radical astatine hazard of being inappropriately sanctioned."

A DWP spokesperson added: "We are alert of an contented wherever a tiny fig of claimants are inactive being asked to be a Claimant Commitment assignment and are presently moving to resoluteness the situation.

"Anyone who thinks they person been affected should interaction their enactment coach."

Which benefits are stopping?

UNIVERSAL Credit is replacing six benefits nether the aged payment system, commonly called bequest benefits. They are:

  • Working taxation credit
  • Child taxation credit
  • Income-based jobseeker's allowance
  • Income support
  • income-related employment and enactment allowance
  • Housing benefit

If you're connected immoderate of these benefits now, you tin determination implicit instantly oregon hold until you person your migration notice.

You should cautiously see the fiscal implications of transitioning to Universal Credit earlier receiving a ceremonial notice, arsenic erstwhile you marque the switch, determination is nary enactment to revert to your erstwhile benefits.

An online benefits calculator, escaped and casual to usage from charities specified arsenic Turn2Us and EntitledTo, tin assistance you check.

You whitethorn besides beryllium moved to Universal Credit if your circumstances change, specified arsenic moving home, changing your moving hours, oregon having a baby.

Ultimately, everyone volition beryllium transitioned to Universal Credit done the managed migration process, and each bequest benefits volition beryllium phased retired by 2025.

A WORD OF WARNING

Since July 2022, the Department for Work and Pensions (DWP) has sent astir 1.14million migration notices.

However, according to the latest figures from the DWP, 284,660 individuals mislaid their benefits aft failing to respond to migration notices received betwixt July 2022 and June 2024.

That's wherefore it's captious to guarantee that you power to Universal Credit wrong 3 months of receiving your letter.

Failure to bash this volition halt your existent payment payment.

You volition besides forfeit transitional extortion top-up payments designed to guarantee you bash not suffer money erstwhile transitioning to Universal Credit nether the managed migration process.

Some 623,310 individuals person since made palmy claims for Universal Credit, and different 232,830 are inactive successful the process of transitioning.

HELP CLAIMING UNIVERSAL CREDIT

As good arsenic payment calculators, anyone moving from tax credits to Universal Credit tin find assistance successful a fig of ways.

You tin sojourn your section Jobcentre by searching at find-your-nearest-jobcentre.dwp.gov.uk/.

There's besides a escaped work called Help to Claim from Citizen's Advice:

  • England: 0800 144 8 444
  • Scotland: 0800 023 2581
  • Wales: 08000 241 220

You tin besides get assistance online from advisers at citizensadvice.org.uk/about-us/contact-us/contact-us/help-to-claim/.

Will I beryllium amended disconnected connected Universal Credit?

ANALYSIS by James Flanders, The Sun's Chief Consumer Reporter:

Around 1.4million radical connected bequest benefits volition beryllium amended disconnected aft switching to Universal Credit, according to the government.

A further 300,000 would spot nary alteration successful payments, portion astir 900,000 would beryllium worse disconnected nether Universal Credit.

Of these, astir 600,000 tin get top-up payments (transitional protection) if they determination nether the managed migration process, truthful they don't suffer retired connected currency immediately.

The bulk of those - astir 400,000 - are claiming employment enactment allowance (ESA).

Around 100,000 are connected taxation credits, portion less than 50,000 each connected different bequest benefits are expected to beryllium affected.

Those who determination voluntarily and are worse disconnected won't get these top-up payments and could suffer cash.

Those who miss the managed migration deadline and aboriginal marque a assertion whitethorn not get transitional protection.

The timepiece starts ticking connected the three-month countdown from the day of the archetypal letter, and reminders are sent via station and substance message.

There is simply a one-month grace play aft this, during which immoderate assertion to Universal Credit is backdated, and transitional extortion tin inactive beryllium awarded.

Examples of those who whitethorn beryllium entitled to little connected Universal Credit include:

  • Households getting ESA and the terrible disablement premium and enhanced disablement premium
  • Households with the little disabled kid summation connected bequest benefits
  • Self-employed households who are taxable to the Minimum Income Floor aft the 12-month grace play has ended
  • In-work households that worked a circumstantial fig of hours (e.g. lone genitor moving 16 hours claiming moving taxation credits
  • Households receiving taxation credits with savings of much than £6,000 (and up to £16,000)

Either way, if these households don't power successful the future, they hazard missing retired connected immoderate aboriginal payment summation and seeing payments frozen.

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