DWP stopping payments for two benefits this month as part of overhaul

The Department for Work and Pensions has confirmed that Income Support and income-related Jobseeker’s Allowance have now been closed as part of a major DWP benefits overhaul, with claimants urged to switch to Universal Credit

The Department for Work and Pensions (DWP) has stopped payments on two benefits as part of a sweeping reform of the welfare system.

The department has been steadily winding down older, so-called legacy benefits over recent years as it transitions claimants across to Universal Credit (UC). These outdated benefits are being abolished and consolidated into UC.

Claimants are not transferred automatically — they must submit an application themselves. Failure to do so puts them at risk of losing their entitlements entirely.

The most recent benefits to be axed are Income Support and income-related Jobseeker’s Allowance, reports Birmingham Live.

Both have now ceased to be paid out by the DWP. In their place, they have essentially been absorbed into UC, which has become the primary benefit in the UK.

Affected claimants should have received migration notices last year, giving them a three-month window in which to apply for the replacement benefit.

Hundreds of thousands have failed to complete this ‘migration’ process over recent years, consequently losing their benefits altogether.

In a recent statement, the DWP said: “The migration of customers from so-called legacy benefits to the country’s main benefit recommenced in May 2022, with the campaign helping to move over 1.9 million people, including 135,000 Income Support and income-related Jobseeker’s Allowance claimants.

“The success means those two benefits will close with customers now receiving Universal Credit – a benefit that better reflects today’s labour market and opens up a range of support to help people move closer to, or into work.”

Minister for Social Security and Disability, Sir Stephen Timms, said: “Our Move to Universal Credit campaign has been successful in moving over 1.9 million people from legacy benefits to the modern Universal Credit system.

“Vulnerable customers have been at the forefront of this campaign. In their interests, we are extending the deadline for income-related Employment Support Allowance claimants to move over.”