DWP estimates most people on Tax Credits will be better off on Universal Credit

The Department for Work and Pensions recently announced that more people on Tax Credits will start to receive letters inviting them to claim Universal Credit as the UK Government expands the migration of legacy benefit claimants to the modern welfare system.

It's also worth noting that 100,000 Tax Credits claimants will receive transitional protection after, which means they should not see any reduction in their benefits when they transfer to Universal Credit. Tax Credits will end even if they decide not to claim Universal Credit. However, there is no need to wait for their transfer letter, and customers can apply to move to Universal Credit sooner, if it is right for them, but they should seek independent advice beforehand to ensure they will not be financially worse off.

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