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Migration from ESA t UC - worse off !!!

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2 months 3 weeks ago #298816 by Jon
Hi,

I am not sure if Benefits and Work are aware of this or not, but many people will be worse off by the forced migration to Universal Credit. I certainly will be:

I am currently receiving Income-related ESA and I am in the Support Group and receive Sever Disability Premium.

I am currently receiving £481.10 every 2 weeks (£240.55 a week).

When I am forced to move to Universal Credit, the most I can receive is £393.45 - Standard Allowance - plus £416.19 being disabled and having limited capability for work. This equates to £373.69 every 2 weeks (£186.84 a week).

I will be £53.71 a week worse off on Universal Credit.

Although I am likely to be eligible for the Transitional Protection Payment (Transitional Element), which will make up the difference of £53.71 in the short term, as Universal Credit payments are increased with the cost of living, my Transitional Protection Payment will reduced by the same amount as the increase in Universal Credit payment.

Therefore, in real terms, I will be worse under Universal Credit by £53.71 a week.

I am also in receipt of Housing and Council Tax Benefits (I have a Council flat in the London Borough of Islington), and am not sure if or how these benefits will be affected by moving to Universal Credit.

Please can you let me know your thoughts.

Many thanks.

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2 months 3 weeks ago #298821 by David
Replied by David on topic Migration from ESA t UC - worse off !!!
Hi Jon

What you say is true. That was part of the rational behind the introduction of UC by previous Tory administrations....ie Benefit cuts.
Though I would hold fire with your calculations until after 26 March when we should hear more about the cuts to Benefits being proposed by Rachel Reeves.

David

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2 months 2 weeks ago #298870 by Kuju2
Replied by Kuju2 on topic Migration from ESA t UC - worse off !!!
Just a quick question, I have just received my migration notice and have until the 29th April to migrate. Would it be best to apply before 26th March before Rachel Reeves Statement, or will it not make much difference? I was planning on migrating mid April so I could build up my savings as much as possible to cover the weeks whilst waiting for first UC payment.

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2 months 2 weeks ago #298876 by David
Replied by David on topic Migration from ESA t UC - worse off !!!
Hi Kuju2

Rachel Reeves' March statement will not affect Transitional Protection as far as you are concerned. What people are worried about are Benefits cuts at a later date.
Hope this helps.
David

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