Universal Credit leaves Ceredigion claimants behind

Universal Credit leaves Ceredigion claimants behind

3 JULY 2024 12:00

Universal Credit leaves Ceredigion claimants behind

Today’s Tivyside reports on warnings from the Department of Work and Pensions about benefit stoppages as people struggle to move onto Universal Credit. Ceredigion clients, and their Citizens Advice Advisers, know all about it. Ceredigion claimants were amongst the first in Britain to start receiving DWP ‘migration notices’ but are now bringing up the rear in terms of progress.   

Universal Credit (UC) was launched in 2013 to replace six ‘legacy’ benefits and tax credits for working-age households. The DWP aimed to simplify the benefits system and, since 2022, has been notifying relevant claimants of their need to move from their existing benefits onto the new benefit. However well managed the DWP’s intentions, the impact on too many claimants has been alarming and disruptive. Some have seen their household incomes reduce and others have fallen into debt as a result. One in four, according to the DWP’s own figures, have lost out entirely.

Despite Ceredigion claimants being at the forefront of the rollout and one of the first areas to receive the notification letters, a third of eligible households remain on the old benefits. We have the second lowest proportion of households on UC in Wales and the sixth lowest in the whole of Great Britain.

The latest constituency data for Ceredigion shows 4,282 households have now managed the move on Universal Credit whilst 2,141 households have yet to do so.  

We are especially concerned that:

  • Fewer people than expected are claiming Universal Credit which means some are missing out on £344 per month benefit income.
  • Some need more support to manage the claim process. We are especially worried about older working-age people, those without digital access or skills, and people with complex disabilities and circumstances. In Ceredigion, those client groups are a particular feature and concern.
  • Claimants are being scared into claiming before their notice arrives. They mustn't be! If they claim early, they miss out on ‘transitional protection’ which ensures their UC is paid at the same rate as their old benefits (at least initially).
  • Newly migrated UC claimants are immediately plunged into debt due to the difference in payment dates and calculation technicalities.

Ceredigion Citizens Advice CEO, Juliet Morris, said:

“Managed migration to Universal Credit has been lumbering into people’s lives for over a decade now. It feels such an old issue but, with every new notification letter, our clients experience fresh upset and anxiety. We know the impact has been felt in parliament too where managed migration has been the subject of numerous debates and reports, with local MPs putting pressure on government to make changes.

On the eve of this parliamentary election and, no doubt, the excitement of setting up the new parliament, we have a simple ask of our MP: don’t forget the unfinished business of your predecessor parliament - and don't forget our clients! Managed migration is causing misery for many and it need not. We’d welcome the chance to help you make the difference they need.”

For further advice and support on Universal Credit:

  • Access the national Citizens Advice website's comprehensive information on managing the UC migration process.
  • Phone our designated Help To Claim helpline where Advisers are available, 5 days per week, to help you through a UC claim process: 0800 024 1220
  • Locally, we can provide tailored support in a range of different ways - find out how to reach us here.  

Further information for policy makers and politicians

Please read the recent Citizens Advice blog post on the improvements we want Government to make to the managed migration process. And get in touch with us if you want to know more about how it all relates to our local clients and communities.

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