People in six situations to ‘check’ if they’re missing out on hundreds | Personal Finance | Finance

According to Policy In Practice, an estimated £7.5billion of support from Universal Credit was unclaimed in 2023, with 1.2 million households potentially unaware that they were owed anything. The experts noted many people miss out due to misunderstanding about who actually qualifies for Universal Credit.

To dispel these myths, Citizens Advice has pinpointed six scenarios where “it might be worth claiming Universal Credit”:

• You’re struggling financially to pay household bills
• You’ve become unemployed and without any income
• Your earnings have reduced even though you’re still employed
• You suffer from a disability or illness that hinders your ability to work
• You bear childcare costs
• You are responsible for the care of another individual

There is no strict income threshold to qualify or disqualify you from receiving Universal Credit, in fact, analysis by Policy in Practice has shown that under certain circumstances, even households with an annual income exceeding £100,000 may qualify.

Citizens Advice advises: “If you don’t get any benefits and you’re thinking of applying for Universal Credit, you should. You might get more money if you apply before the rules change.”

Come next April, the government will introduce modifications to the health component of Universal Credit, impacting existing claims differently to those applying after the change.

You might be eligible for Universal Credit if you’re:

• 18 or over but below state pension age
• Residing in the UK
• Have less than £16,000 in savings or other investments

The DWP will consider your circumstances and income, as well as your partner’s, when assessing your application. Utilising online benefit calculators can assist in determining if you’re likely to qualify.

Some legacy benefits are also transitioning to Universal Credit. These include:

• Income-based Jobseekers Allowance
• Income-related Employment and Support Allowance
• Income Support
• Housing Benefit
• Child Tax Credit
• Working Tax Credit

People who receive migration notices needn’t fret about meeting Universal Credit requirements if they apply before the deadline stated in their letter. This will grant them transitional protection, ensuring they continue to receive benefits at the same level as their previous benefit.