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Universal Credit UK: Some people now qualify for extra £200 – this is who is eligible

UNIVERSAL CREDIT is replacing six forms of benefits, known as legacy benefits. And, following a change in the rules last month, thousands of people who move onto the payment will now qualify for a one-off payment.

What is Universal Credit replacing?

Under the change in the rules, thousands of benefit claimants who move onto Universal Credit will be able to get up to two weeks of additional cash. The one-time payment, which is known as a run-on, came into effect on July 22.

It means that if someone’s existing claim of income-based Jobseeker’s Allowance (JSA), income-related Employment and Support Allowance (ESA) or Income Support ends due to them applying for Universal Credit, they would receive a payment worth up to two weeks of their legacy award.

According to the DWP, more than one million households will gain from the two-week run-on, and the average gain is £200.

This money does not need to be paid back, the Department for Work and Pensions (DWP) confirmed.

Furthermore, it will not affect the amount of Universal Credit they receive, the DWP said.

Minister for Welfare Delivery Will Quince said: “This one-off payment will provide additional support as claimants move from legacy benefits to Universal Credit.

“It doesn’t have to be paid back and won’t affect their UC award, so is welcome extra cash in pockets.”

Rather than the payment being needed to be claimed, it will instead be paid automatically to eligible claimants.

This will happen when they claim Universal Credit for the first time, meaning the eligible person doesn’t need to contact the DWP to receive it.

Run-on payments will include other premiums that claimants have been getting prior to moving to Universal Credit, including Enhanced Disability Premium, carer premium or ESA work-related activity component.

Commenting on the run-on payments announcement last month, Dame Gillian Guy, Chief Executive of Citizens Advice, said: “Run-on payments are a welcome step that will lighten the burden for many legacy benefits claimants moving to Universal Credit.

“But millions of people who have lost their jobs as result of this crisis remain subject to the five-week wait.

“While advances are available, they have to be repaid, which can leave people with a choice of struggling now or struggling later.

“Turning advance payments into a grant would strengthen the safety net and make sure more people don’t face hardship or debt if they need support from Universal Credit.”

What is Universal Credit replacing?

Universal Credit is replacing:

  • Child Tax Credit
  • Housing Benefit
  • Income Support
  • Income-based Jobseeker’s Allowance (JSA)
  • Income-related Employment and Support Allowance (ESA)
  • Working Tax Credit.

Should a person currently receive any of these benefits, the DWP states they don’t need to do anything unless they have a change of circumstances they need to report, or the DWP contacts them about moving to Universal Credit.

A pilot scheme for the movement of people who have not had a change in circumstances being moved to Universal Credit is currently underway.

Having begun last year, the trial for the process – known as managed migration – is taking place in Harrogate, North Yorkshire.

It’s possible to use an online independent benefit calculator in order to check to see how much support through Universal Credit one is entitled to before moving from legacy benefits.

The Government website lists three of these, and they’re hosted by Policy in Practice, Turn2us and entitledto.

What is Universal Credit replacing?

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