Universal Credit claimants are being warned not to be caught out by recent rule changes that could lead to fines. Households previously claiming Tax Credits but recently moved to Universal Credit may no longer qualify for free prescriptions and dental care, according to financial expert Martin Lewis.
Changes to Eligibility
Under Tax Credits, households earning up to around £14,520 a year after tax could still qualify for free NHS prescriptions and dental treatment. However, under Universal Credit, the income threshold has fallen to roughly £5,220 or £11,220 depending on circumstances, meaning many people will be affected.
Martin Lewis's Warning
Martin Lewis has raised concerns about a surge in fines for people unaware of the new rules. He said: "If you move from Tax Credits to Universal Credit, do not assume you get free prescriptions, in England that is, and dental. The Universal Credit income threshold for these is lower than under Tax Credits."
He added: "Many who were on Tax Credits, they get to the box at the dentist, or they get to prescriptions, and they just tick the Tax Credits, Jobseeker's Allowance or Universal Credit boxes. Then they get sent a letter saying, can you check that you're really eligible, because they don't realise the income threshold is different. They don't do that, and then there's up to £100 fine for those people that they don't realise they're doing anything wrong."
What Claimants Should Do
It is essential for claimants to check the latest qualifying rules and not assume they still qualify. The Department for Work and Pensions advises all claimants to verify their eligibility for benefits such as free prescriptions and dental care when moving to Universal Credit.
