Moving to Universal Credit from other benefits

  1. Overview
  2. Who can claim Universal Credit
  3. Better or worse off?
  4. Changes in your circumstances (natural migration)
  1. Choosing to change to Universal Credit (natural migration)
  2. Managed migration
  3. Transitional protection
  4. What else you need to know

3. Better or worse off?

If you are currently receiving legacy benefits, you will need to claim Universal Credit at some point.

Depending on your situation, it might be better for you to claim Universal Credit as soon as you can, or it might be better for you to stay on legacy benefits as long as possible.

Once you decide to go ahead with your Universal Credit claim, it is important to decide when to claim, as this can also make a difference. The choices you have about this will depend whether you are claiming via natural migration or managed migration. The DWP cannot actually compel or force you to claim Universal Credit, however if your legacy benefits are withdrawn, you may be left with little other choice.

There are many factors to take into account when deciding whether and when to claim Universal Credit. It is only possible to give general advice here and it is essential that you get independent advice about your own circumstances before deciding whether and when to proceed with a Universal Credit claim. Ideally, you need to get a better off calculation.

You can get help from the Citizens Advice Help to Claim Service. You can also telephone them free of charge on 0800 144 8 444.

You might be better off on Universal Credit if:

  • You are a carer who earns too much (or chooses not) to claim Carer's Allowance
  • The rules around the number of hours you work prevent you from getting some legacy benefits
  • You get the support component of income-related Employment & Support Allowance, but do not get Personal Independence Payment
  • You are working
  • You are working and have childcare costs
  • You have non-dependants, boarders or lodgers

You might be worse off on Universal Credit if:

  • You claim tax credits and currently have capital, particularly if you have over £16,000
  • You claim tax credits and have one or more disabled children
  • You are too sick to work and you are also the carer of another person
  • You get the severe disability premium included in your legacy benefits
  • You are affected by the benefit cap (this is a limit on the amount of money the Government will pay out in benefits to some families)
  • You receive (or will receive) Maternity Allowance from the DWP
  • You are aged under 25 (particularly if you are too sick to work or you are claiming for one or more children)
  • You are part of a mixed age couple, where only one of you is under State Pension age
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