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Four benefits you could lose in 2026 as Government moves to Universal Credit

PLANNED REFORMS: To continue receiving financial support, you must claim Universal Credit by your deadline date (Image: Getty)

The Government will end four legacy benefits in the first quarter of 2026 as it moves claimants to Universal Credit (UC). People currently receiving these outdated benefits are being urged to apply for UC as a replacement.

The Department for Work and Pensions (DWP) is overseeing the transfer process, which has already resulted in the closure of Working Tax Credit and Child Tax Credit. By March 2026, four more benefits will be scrapped, including Income-related Employment and Support Allowance (ESA), Income Support, Income-based Jobseeker’s Allowance (JSA), and Housing Benefit, except for those in supported or temporary accommodation.

Other benefits, such as Personal Independence Payment (PIP), will not be affected by the changes. This transition coincides with planned reforms to Universal Credit, which will take effect in April next year.

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A Government document states that the DWP aims to move all legacy benefit claimants to UC by March 2026, completing the rollout and closing all legacy benefits. Those in receipt of those benefits are currently receiving Migration Notice letters instructing them to switch to Universal Credit.

The DWP states: “To continue receiving financial support, you must claim Universal Credit by your deadline date.” And, it warns: “Your benefits will end even if you decide not to claim Universal Credit. You can claim Universal Credit later, but the usual Universal Credit eligibility rules will apply, meaning you will not be entitled to transitional protection.”

On Universal Credit, most individuals are likely to receive the same amount they received from their previous benefits, or potentially more. The Universal Credit payment is made up of a standard allowance and any additional amounts that apply to the claimant, for example, they:

  • Have children
  • Need help paying your rent
  • Have a disability or health condition which prevents you from working

‘Transitional protection’ top-up payments

There are protections in place for those concerned about a loss of financial support, reports The Mirror. The DWP says: “If the amount you’re entitled to on your existing or previous benefits exceeds what you’ll receive on Universal Credit, a top-up is available. There’s no need to apply for transitional protection. It will be automatically paid to you if you receive a Migration Notice letter and make a Universal Credit claim by your deadline date.”

A full run-down of how to claim Universal Credit can be found here.

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