Today the DWP published the latest data on the outcomes of tax credit claimants who have been sent their ‘migration notice’. This is a letter informing people that they have three months to make a claim for universal credit (UC), at which point their tax credit payments will be terminated. The data reveals that 16,000 people sent a migration notice did not make the transition to UC and had their legacy benefits terminated. This equates to 27 per cent of those who have been sent a migration notice and reached their deadline (based on those sent a migration notice in the first half of 2023).
CPAG in Scotland’s Early Warning System has been operating for ten years! Over Challenge Poverty Week we are looking back at some of the social security events in this period, key findings from the Early Warning System and how they have influenced policy and practise. Today we are looking back at universal credit and how Early Warning System evidence can influence its future.
The UK is wealthy, in terms of relative disposable incomes, median household incomes and the relative price of goods and services. But child poverty rates here, and child deprivation, are comparatively higher than in most rich countries in the European Union and OECD. Why is the UK’s initial child poverty rate before cash transfers in benefits and tax credits among the very highest in Europe? What role are these transfers playing to reduce child poverty? And what can we learn from other countries about reducing child poverty?
As more families migrate from older benefits to universal credit, new official figures show there are 2.3 million children in households on universal credit (UC) which are having debt deductions from their benefit, forcing them to live on significantly less than their entitlement.
28% of tax credit claimants who are required to move to universal credit haven’t claimed and have had their benefits stopped and their cost-of-living payments also at stake.
Two-thirds of people sent a migration notice between November 2022 and March 2023 made a successful UC claim before their migration deadline. A further 5 per cent made a claim after their deadline had passed. And 28 per cent did not claim UC at all and had their legacy benefit payments terminated. We are concerned that a sizeable minority of claimants are falling through the gaps.
The benefit cap and the two-child limit has caused hardship to tens of thousands of families, with both policies failing to meet their original aims, according to the findings of a new study.
The harms of the cost of living crisis are multiplied by the benefit cap and two-child limit, flagship policies of the welfare reform agenda which sharply sever the relationship between need and support provided by our social security system.
This research study examines the extent to which universal credit adheres to the rule of law principles of transparency, procedural fairness and lawfulness.
