In a sweeping reform of Britain's welfare system, the Department for Work and Pensions has confirmed it will eliminate two key legacy benefits, compelling thousands of claimants to transition to Universal Credit.
The Benefits Facing the Chop
The government is set to completely phase out Income-related Employment and Support Allowance (ESA) and Income-based Jobseeker's Allowance (JSA). This decision forms part of the ongoing 'managed migration' strategy, which has already seen approximately 900,000 individuals moved from older benefit systems to the consolidated Universal Credit platform.
What This Means for Claimants
Current recipients of these benefits will receive Migration Notice letters instructing them to apply for Universal Credit. The critical detail? Their existing benefits will terminate regardless of whether they complete the Universal Credit application, creating a potential financial cliff-edge for those who delay.
While the DWP emphasises that most claimants will be financially better off or maintain similar levels of support, they acknowledge that some individuals may receive less under the new system.
Timeline and Scale of the Changes
The migration process is already underway and will continue throughout 2024 and into 2025. This latest phase targets approximately 500,000 people currently receiving either income-related ESA or income-based JSA, adding to the hundreds of thousands already transitioned from other legacy benefits.
Protection for Vulnerable Claimants
To mitigate potential hardship, the DWP has implemented Transitional Protection payments. These top-up payments are designed to ensure that claimants moving to Universal Credit don't experience an immediate reduction in their income if their new entitlement would be lower.
However, this safety net comes with strict conditions. The protection only applies to those who successfully claim Universal Credit before their Migration Notice deadline expires and is typically lost if their circumstances significantly change afterward.
Expert Warnings and Next Steps
Charities and welfare advisors are urging affected individuals to seek professional advice immediately upon receiving their Migration Notice. They emphasise the importance of understanding potential changes to payment amounts, assessment criteria, and reporting requirements under the Universal Credit system.
With the cost of living crisis continuing to impact households across the UK, these welfare changes represent one of the most significant transformations to the benefits landscape in recent years.
