Let’s Talk Money: Moving to Universal Credit?

5 November 2024 by Communications Team

Universal Credit (UC) is replacing Housing Benefit, Income Related Employment and Support Allowance and Job Seekers Allowance, Income Support, Child Tax Credit and Working Tax Credit.

If you get any of these benefits wait until you receive a letter from the Department for Communities informing you to Move to UC. When you get your letter, it is important you take action to apply for UC by the deadline on your letter as you will not be changed over automatically.

How Universal Credit is different

Universal Credit is a single payment designed to support you with the costs of everyday living, including housing, disability, caring and bringing up children. You can claim it whether or not you’re working.

Here’s how Universal Credit might be different to your current benefits:

you can work as many hours as you like.
you’ll usually need to commit to finding work if you’re able.
your payment might change each time as it’s based on your household income and the savings and investments you had in the previous month.
you won’t get anything if you have savings or investments worth over £16,000.
you’ll need to wait five weeks for your first payment but can apply for the Universal Credit Contingency Fund short-term living expenses grant or a Universal Credit: advance payment to help with this.
you’re usually paid twice a month.
you can claim back up to 85% of your childcare costs.
your payment might be reduced by up to 25% to repay debts like overpaid benefits or tax credits but you can contact Debt Management if you are experiencing repayment difficulties.
Rent is paid directly to your landlord but Rate Rebate needs to be applied for separately.

‘Do one thing’

If you ‘do one thing’ this Talk Money Week, get in touch with a member of our Welfare Advice Team.

Clodagh, Daniel and Hayley are qualified benefits advisers and can help you with the Move to Universal Credit – including benefit checks, applications and any issues that may arise with the transition onto this new benefit.

Tel: 028 7130 4800
Email: welfareadvice@apex.org.uk