Help with your finances

Universal Credit is a government benefit designed to help with your everyday living costs. It’s usually paid once a month, although some people may receive it more frequently depending on their circumstances. You may qualify if you’re on a low income, currently unemployed, or unable to work.

If you already receive other benefits

Universal Credit is gradually replacing the following existing benefits:

• Child Tax Credit
• Housing Benefit
• Income Support
• Income-based Jobseeker’s Allowance (JSA)
• Income-related Employment and Support Allowance (ESA)
• Working Tax Credit

If you currently receive any of these, you don’t need to take action unless:

• You have a change in circumstances that needs to be reported, or
• You receive a letter called a Migration Notice, which tells you that you’ll need to move to Universal Credit (see the Managed Migration section below).

If you or your partner apply for Universal Credit while receiving tax credits, those tax credits will stop.

When a change in your situation means you need to switch to Universal Credit, this is known as ‘Natural Migration’.

For example, if your employment status, household makeup, or income changes and you need to make a new claim for one of the benefits listed above, you’ll automatically move to Universal Credit instead. This process has been in place since Universal Credit was first introduced.

You may be eligible to receive Universal Credit if you’re on a low income or need financial support with your living costs. It can be claimed whether you’re working full time, part time, self-employed, or currently not in work.

To qualify, you must:

• Live in the UK
• Be aged 18 or over (in some cases, 16–17-year-olds may also be eligible)
• Be below State Pension age
• Have savings, investments, and capital of £16,000 or less

If you’re moving from another benefit to Universal Credit, you may receive a two-week continued payment of your existing benefit. This applies to Income Support, income-based Jobseeker’s Allowance, and income-related Employment and Support Allowance. Those transferring from Housing Benefit will also receive a two-week Transition to Universal Credit Housing Payment to help during the changeover.

For more details about how Universal Credit works and how to apply, visit the official government website: Universal Credit: What Universal Credit is – GOV.UK

All existing benefit claimants are expected to move to Universal Credit by March 2026. The Department for Work and Pensions (DWP) will contact each claimant directly to let them know when they need to switch.

When you transfer from your current (legacy) benefits to Universal Credit, your new entitlement will be compared with what you previously received. If the amount you’re entitled to under Universal Credit is lower, you may receive a top-up payment so that you don’t lose out. This additional payment will continue as long as your circumstances remain the same.

Although the DWP will roll out migration notices in stages across the country, you don’t have to wait to be invited. If you believe you might be better off under Universal Credit, you can choose to move voluntarily. However, we strongly recommend seeking independent welfare benefits advice before doing so. In some cases, switching early can result in a lower entitlement or the loss of transitional protection. This voluntary move to Universal Credit is known as Voluntary Migration.

If you’ve already received a Universal Credit migration letter, it means the DWP has started your Managed Migration process. The letter will explain when your existing benefits will end and provide a deadline for making your Universal Credit claim.

To find out how to apply, visit the official government website: How to claim Universal Credit – GOV.UK

The government provides transitional protection for people moving to Universal Credit through the managed migration process. This ensures your Universal Credit payments are not lower than your previous benefits when you first move over, as long as your circumstances don’t change.

Extra support is available for those who received the Severe Disability Premium and for self-employed claimants moving from tax credits, who get a 12-month start-up period before the Minimum Income Floor applies.

Once you move to Universal Credit, you cannot return to your previous benefits. Transitional protection is only available through managed migration, not for natural or voluntary moves. If you’re considering switching voluntarily, we strongly recommend seeking independent advice to avoid losing money or your right to protection.

The transitional element may reduce over time if your Universal Credit award increases, for example due to a rent rise or new entitlement.

For more information and examples of who may benefit, visit: Completing the move to Universal Credit – GOV.UK

Log in to your Universal Credit journal and check your messages. If you have a message asking you to confirm a rent change, open it and report the increase.

If there isn’t a message, go to ‘Report a change of circumstances’ and select the rent increase option.

For more information, visit: Understanding Universal Credit – Online Account

Personal Independence Payment (PIP) is a non-means-tested benefit for people under State Pension age who have a long-term physical or mental health condition or disability. You may be eligible for PIP even if you are working, have savings, or are already receiving most other benefits. What PIP is for – GOV.UK

PIP is made up of two parts:

• Daily living component – to help with everyday tasks
• Mobility component – to help with getting around

How to apply

1. Call the PIP new claims line on 0800 917 2222 to register your claim.

2. You will receive a form asking about your condition and how it affects your daily life. Complete the form and include any supporting evidence, such as:

• • Medical records or letters from healthcare professionals
  • Sick notes or prescriptions
  • Diaries describing your daily routine
  • Letters from other professionals or carers who support you

3. The Department for Work and Pensions (DWP) will contact you to arrange a medical assessment, which could be in person, over the phone, or via video.

4. The DWP will make a decision based on your claim form, supporting evidence, and the assessment report. You will be notified in writing of their decision.

How PIP is awarded
To qualify, you must score points in the assessment for either the daily living or mobility component (or both):

• 8–11 points: standard rate
• 12 points or more: enhanced rate
• Less than 8 points: do not qualify

Challenging a decision

If you are unhappy with the outcome, you can appeal the DWP decision. Common reasons to challenge include:

• Being refused PIP because you did not score enough points
• Believing you should have received a higher rate

Attendance Allowance (AA) Attendance Allowance: Overview – GOV.UK

Attendance Allowance is a non-means-tested benefit for people of State Pension age who need help with personal care due to a physical or mental health condition or disability.

It is paid at two different rates depending on the level of support you need:

• Lower rate (£73.90 per week): For frequent help or constant supervision during the day, or supervision at night.
• Higher rate (£110.40 per week): For help or supervision both day and night, or if a medical professional has confirmed you are approaching the end of life.

Eligibility
You may qualify if you:

• Have a physical disability (including sensory disabilities such as blindness), a mental disability (including learning difficulties), or another long-term health condition
• Need help caring for yourself or supervision for your safety or others’ safety
• Have required this help for at least 6 months

How to apply
You can apply by completing a form online or by post, detailing your condition. Once your form is reviewed, you will receive a decision letter explaining the outcome.

Appealing a decision
You can challenge the decision if you:

• Believe the office handling your claim has made an error or overlooked important evidence
• Disagree with the reasons given for the decision
• Want the decision to be reconsidered
  

Disability Living Allowance (DLA) for children

Is a benefit for children under 16 who need extra care or have mobility difficulties due to a health condition or disability. Disability Living Allowance (DLA) for children: Overview – GOV.UK

Universal Credit – Limited Capability for Work and Work-Related Activity

If you have a health condition or disability that affects your ability to work, you may be eligible for the Limited Capability for Work-Related Activity element of Universal Credit. Health conditions, disability and Universal Credit: Overview – GOV.UK

Carer’s Allowance is a benefit for people who spend at least 35 hours a week caring for someone with a disability. It’s paid at £83.30 per week. Carer’s Allowance: How it works – GOV.UK

• You don’t need to be related to or live with the person you care for.
• You won’t receive extra if you care for more than one person.
• If someone else also cares for the same person, only one of you can claim.

Eligibility
You may qualify if you care for someone for at least 35 hours per week and they already receive certain benefits, including:

• Personal Independence Payment – daily living component
• Disability Living Allowance – middle or highest care rate
• Scottish Adult Disability Living Allowance – middle or highest care rate
• Attendance Allowance
• Pension Age Disability Payment
• Constant Attendance Allowance (Industrial Injuries or War Disablement Pension)
• Armed Forces Independence Payment
• Child Disability Payment – middle or highest care rate
• Adult Disability Payment – daily living component at standard or enhanced rate

How to claim
Apply online by completing the application form. You will be notified by letter if you qualify. Claims can be backdated by up to 3 months.

Appealing a decision
You can challenge a decision if you think an error has been made, important evidence was missed, or you disagree with the outcome.

Disability Living Allowance (DLA) is a non-means-tested benefit for children under 16 who have a long-term physical or mental health condition or disability. Your child does not need a formal diagnosis, but must require extra care, attention, or supervision. DLA for children: How It Works – GOV.UK

DLA has two parts:

• Care component – to help with day-to-day care
• Mobility component – to help with getting around

How to apply

1. Call the DLA helpline on 0800 121 4600 to request a claim form.

2.Complete the form with details about your child’s condition and how it affects them. Include any supporting evidence, such as:

• • Medical records
  • Prescriptions
  • Diaries of daily routines
  • Letters from medical professionals, carers, or others who support your child

3. The Department for Work and Pensions (DWP) will confirm receipt of your form within two weeks.

4. You will then receive a written decision explaining whether your child has been awarded DLA, at what rate, and from which date.

Appealing a decision
You can challenge the decision if you believe your child:

• Was refused DLA, or
• Should have been awarded a higher rate

Need help?
If you would like support with applying for DLA, appealing a decision, or completing a review, contact the Financial Wellbeing Service at MTD Housing.

The health element of Universal Credit provides extra support if you have a health condition or disability that affects your ability to work. To receive it, you must complete a Work Capability Assessment (WCA) to determine if you have Limited Capability for Work and Work-Related Activity (LCWRA). Health Conditions and Disability UC: Overview – GOV.UK

You can report your health condition when you first apply for UC or, if you’re already claiming, by submitting a change of circumstances through your UC account. You may also need a fit note from a healthcare professional.

Once your condition is reported, you’ll receive a Capability for Work questionnaire (UC50) to complete. UC will then arrange a health assessment, which can take place in person, over the phone, or via video. The assessment explores how your health condition or disability affects your ability to work.

After the assessment, you’ll receive a decision stating whether you are:

• Fit for work
• Limited Capability for Work (LCW) – able to prepare for work in the future
• Limited Capability for Work and Work-Related Activity (LCWRA) – currently unable to work, with no requirement to look for or prepare for work. This category includes an additional monthly payment within your UC claim.

If you disagree with the decision, you can appeal.

Need help?
If you would like support with applying for the UC health element, appealing a decision, or completing a review, contact the Financial Wellbeing Service at MTD Housing.