Universal Credit

Introduction

Universal Credit is a new benefit that has started to replace 6 existing benefits with a single monthly payment for people out of work or on a low income.

Who will be affected?

Universal Credit will eventually replace:

  • Income-based Jobseeker’s Allowance
  • Income-related Employment and Support Allowance
  • Income Support
  • Working Tax Credit
  • Child Tax Credit
  • Housing Benefit
     

people are still able to claim:

  • contribution-based jobseeker’s allowance
  • contributory employment and support allowance
  • child benefit
  • carer’s allowance
  • bereavement allowance, bereavement payment and widowed parent’s allowance(subject to separate reform proposals)
  • maternity allowance
  • industrial injuries disablement benefit
  • statutory maternity/adoption/paternity pay
  • statutory sick pay
  • maternity grants, funeral payments and cold weather payments – to be extended to people on Universal Credit

When is this happening?

Universal Credit was introduced on 29 April 2013 in selected areas of Greater Manchester and Cheshire and is being gradually rolled out to the rest of the UK from October 2013, and will be completed by 2017.
People already claiming one or more of the above benefits will continue to claim as before until replaced by Universal Credit

Last Reviewed: 10/07/2013