Where a claimant has an award of universal credit and, in any assessment period, is also entitled to housing benefit for temporary accommodation and the award of universal credit does not include an amount for housing costs, regulation 23(2) of the Universal Credit Regulations (amount of the work allowance) is to apply in relation to that assessment period as if the award did ... include an amount for housing costs.

Exclusion of claims for certain existing benefits

Termination of awards of certain existing benefits: new claimant partners

Transitional housing payment

6A

Where an award of housing benefit terminates under regulation 6 ...—

(a) the claimant is to be treated for the purposes of the Housing Benefit Regulations as entitled to universal credit during the period of 2 weeks mentioned in regulation 6(2A) ..., even if no decision has been made on the claim; ...

(b) if a claim for universal credit is made and the claimant moves to new accommodation occupied as the claimant’s home, then, notwithstanding anything in the Housing Benefit Regulations, housing benefit is to be paid directly to the claimant during the period of 2 weeks mentioned in regulation 6(2A) ... ; and

(c) if a claim for universal credit is made by a notified person then, notwithstanding anything in the Housing Benefit Regulations, the weekly amount of housing benefit to which the person is entitled for that period of two weeks is the same as the weekly amount they were entitled to on the first day of that period.

Treatment of ongoing entitlement to certain benefits: benefit cap

Treatment of overpayments

Ongoing awards of tax credits

Modification of tax credits legislation: overpayments and penalties

Appeals etc relating to certain existing benefits

Appeals etc relating to universal credit

Arrears of benefit disregarded as capital

8A

(1) This regulation applies in relation to the calculation of an award of universal credit (the “current award”) where the claimant has received a payment of arrears of benefit or armed forces independence payment, or a concessionary payment made to compensate for arrears of benefit or armed forces independence payment, of £5,000 or more, and the following conditions are met:

(a) the payment—

(i) is received during the current award, or

(ii) was received during an award of an existing benefit (the “earlier award”) and the claimant became entitled to the current award within one month of the date of termination of the earlier award;

(b) in the case of a payment falling within sub-paragraph (a)(i), it would be disregarded from the calculation of the claimant’s capital if the claimant were entitled to an existing benefit;

(c) in the case of a payment falling within sub-paragraph (a)(ii), it was disregarded from the calculation of the claimant’s capital for the purposes of the earlier award; and

(d) the period of entitlement to benefit or armed forces independence payment to which the payment relates commences before the first date on which, by virtue of Article 39 of the Order (abolition of benefits), no claimant is entitled to an existing benefit.

(2) Where this regulation applies, the payment is to be disregarded from the calculation of a claimant’s capital for 12 months from the date of receipt of the payment, or until the termination of the current award (if later).

(3) “Armed forces independence payment” means armed forces independence payment under the Armed Forces and Reserve Forces (Compensation Scheme) Order 2011.

Ongoing awards of tax credits

Modification of tax credits legislation: overpayments and penalties

Appeals etc relating to certain existing benefits

Appeals etc relating to universal credit

Restriction on claims for universal credit by persons entitled to a severe disability premium

2B

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 4 — MANAGED MIGRATION TO UNIVERSAL CREDIT

The Migration Process

Migration notice

45

(1) The Department may, at any time, issue a notice (“a migration notice”) to a person who is entitled to an award of an existing benefit—

(a) informing the person that all awards of any existing benefits to which they are entitled are to terminate and that they will need to make a claim for universal credit; and

(b) specifying a day (“the deadline day”) by which a claim for universal credit must be made.

(2) The migration notice may contain such other information as the Department considers appropriate.

(3) Subject to paragraphs (3A) , (3B) and (3E), the deadline day must not be within the period of three months beginning with the day on which the migration notice is issued.

(3A) ... Where a migration notice is issued after cancellation of a previous migration notice or after cancellation of a tax credit closure notice the deadline day may be within such shorter period as the Department considers appropriate.

(3B) Where a migration notice is—

(a) issued to a person who is entitled to an award of tax credit; and

(b) issued on or after 27th January 2025 and before 6th April 2025, the deadline day may be 6th April 2025.

(3C) Paragraph (3E) applies where—

(a) a migration notice is issued to a claimant who is entitled to an award of income-based jobseeker’s allowance, income-related employment and support allowance or income support; and

(b) the deadline day specified in the notice would be after the appointed day for Article 39(1)(a), (b) or (c) of the Order to come into operation in relation to the award.

(3D) Paragraph (3E) also applies where—

(a) a migration notice is issued to a claimant who is entitled to an award of housing benefit but not to an award of a benefit to which paragraph (3C)(a) refers; and

(b) the deadline day specified in the notice would be after the appointed day for Article 39(1)(d) of the Order to come into operation in relation to the award.

(3E) Where this paragraph applies, the deadline day may be the appointed day.

(3F) In paragraphs (3C) and (3D), the ‘appointed day’ in relation to an award is a day specified in an order made under Article 2(2) of the Order which is not dependent on the making of a claim for universal credit, ignoring any provision in the order that has the effect that the appointed day does not apply when the day that would otherwise be the appointed day falls within a run-on period.

(3G) In paragraph (3F)—

(a) a reference to a claim for universal credit includes a reference to an award of universal credit made without a claim where an order under Article 2(2) of the Order provides for that award to result in the appointment of a day for the coming into operation of Article 39(1)(a) or (b) of the Order in relation to the case of the award; and

(b) ‘run-on period’ means the two-week period mentioned in regulation 6(2A) or 47(1)(a) or in regulation 4(1) of the Universal Credit (Managed Migration and Miscellaneous Amendments) Regulations (Northern Ireland) 2019.

(4) If the person who is entitled to an award of an existing benefit is, for the purposes of that award, a member of a couple or a member of a polygamous marriage, the Department must also issue the migration notice to the other member (or members).

(5) The Department may cancel a migration notice issued to any person—

(a) if it has been issued in error; or

(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(c) in any other circumstances where the Department considers it necessary to do so in the interests of the person, or any class of person, or to safeguard the efficient administration of universal credit.

(5A) In a case referred to in paragraph (5)(a) the Department may, instead of cancelling the migration notice, treat that notice as if it were a tax credit closure notice issued to that person and may treat the deadline day in the migration notice as if it were the deadline day in a tax credit closure notice.

(6) A “notified person” is a person to whom a migration notice has been issued.

(7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Extension of the deadline day

46

(1) The Department may determine that the deadline day should be changed to a later day either—

(a) on the Department’s own initiative; or

(b) if a notified person requests such a change before the deadline day,

where there is a good reason to do so.

(2) The Department must inform the other notified person or persons of the new deadline day.

Termination of existing benefits if no claim before the deadline

47

(1) Where a notified person has not made a claim for universal credit on or before the deadline day, all awards of any existing benefits to which the person is entitled terminate—

(a) in the case of housing benefit in the form of a rent rebate or allowance awarded in connection with regulation 13 of the Housing Benefit Regulations or regulation 13 of the Housing Benefit (State Pension Credit) Regulations, income support, income-based jobseeker’s allowance or income-related employment and support allowance, on the last day of the period of two weeks beginning with the deadline day; and

(b) in the case of housing benefit in the form of a rate rebate awarded in accordance with regulation 12 of the Housing Benefit Regulations or regulation 12 of the Housing Benefit (State Pension Credit) Regulations or a tax credit, on the day before the deadline day.

(2) An award of housing benefit to which a claimant is entitled in respect of specified accommodation or temporary accommodation does not terminate by virtue of this regulation.

(3) Where paragraph (1) applies and the notified person makes a claim for universal credit—

(a) after the deadline day; and

(b) on or before the final deadline specified in paragraph (4),

then, notwithstanding anything in regulation 25 of the Claims and Payments Regulations (time within which a claim for universal credit is to be made) as modified by regulation 14 of these Regulations, the award is to commence on the deadline day.

(4) The final deadline is the day that would be the last day of the first assessment period in relation to an award commencing on the deadline day.

(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Notified persons who claim as a different benefit unit

48

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Transitional Protection

Meaning of “qualifying claim”

49

A “qualifying claim” is a claim for universal credit by a single claimant who is a notified person or by joint claimants, both of whom are notified persons, where the claim is made on or before the final deadline (see regulation 47(4)).

Meaning of “migration day”

50

“Migration day”, in relation to a qualifying claim, means the day before the first day on which the claimant is entitled to universal credit in connection with that claim.

Department to determine whether transitional protection applies

51

(1) Before making a decision on a qualifying claim the Department must first determine whether—

(a) a transitional capital disregard is to apply; or

(b) a transitional element is to be included,

(or both) in the calculation of the award.

(2) But the Department is not to determine whether a transitional element is to be included in a case where-

(a) notified persons who were a couple for the purposes of an award of an existing benefit when the migration notice was issued are single persons or members of a different couple for the purposes of a claim for universal credit; or

(b) notified persons who were single for the purposes of an award of an existing benefit when the migration notice was issued are a couple for the purposes of a claim for universal credit; or

(c) notified persons who were members of a polygamous marriage for the purposes of an award of an existing benefit when the migration notice was issued are a couple or single persons for the purposes of a claim for universal credit.

(3) A person who makes a claim for universal credit as a single person by virtue of regulation 3(2) of the Universal Credit Regulations (Northern Ireland) is a single person for the purposes of paragraph (1)(a) and a member of a couple for the purposes of paragraph (1)(b).

The transitional capital disregard

52

(1) A transitional capital disregard is to apply where, on the migration day, the claimant—

(a) is entitled to an award of a tax credit; and

(b) has capital exceeding £16,000.

(2) Where a transitional capital disregard applies, any capital exceeding £16,000 is to be disregarded for the purposes of—

(a) determining whether the financial condition in Article 10(1)(a) or (2)(a) of the Order (capital limit) is met; and

(b) calculating the amount of an award of universal credit (including the indicative UC amount).

(3) Where a transitional capital disregard has been applied in the calculation of an award of universal credit but, in any assessment period, the claimant no longer has (or joint claimants no longer have) capital exceeding £16,000, the transitional capital disregard is not to apply in any subsequent assessment period.

(4) A transitional capital disregard is not to apply for more than 12 assessment periods.

The transitional element

53

(1) A transitional element is to be included in the calculation of an award if the total amount of any awards of existing benefits determined in accordance with regulation 54 (“the total legacy amount”) is greater than the amount of an award of universal credit determined in accordance with regulation 55 (“the indicative UC amount”).

(2) Where a transitional element is to be included in the calculation of an award, the amount of that element is to be treated for the purposes of Article 13 of the Order (calculation of awards), as if it were an additional amount to be included in the maximum amount under Article 13(2) before the deduction of income under Article 13(3).

The transitional element - total legacy amount

54

(1) The total legacy amount is the sum of the representative monthly rates of all awards of any existing benefits to which a claimant is, or joint claimants are, entitled on the migration day.

Tax credits

(2) To calculate the representative monthly rate of an award of working tax credit or child tax credit—

(a) take the figure for the daily rate of the award on the migration day provided by HMRC and calculated on the basis of the information as to the claimant’s circumstances held by HMRC on that day; and

(b) convert to a monthly figure by multiplying by 365 and dividing by 12.

(3) For the purposes of paragraph (2)(a) “the daily rate” is—

(a) in a case where section 13(1) of the Tax Credits Act 2002 applies (relevant income does not exceed the income threshold or the claimant is entitled to a prescribed social security benefit), the maximum rate of each element to which the claimant is entitled on the migration day divided by 365; and

(b) in any other case, the rate that would be produced by applying regulations 6 to 9 of the Tax Credits (Income Thresholds and Determination of Rates) Regulations 2002 as if the migration day were a relevant period of one day.

IS, JSA(IB) and ESA(IR)

(4) To calculate the representative monthly rate of an award of income support, income-based jobseeker’s allowance or income-related employment and support allowance—

(a) take the weekly rate on the migration day calculated in accordance with—

(i) in the case of income support, Part 7 of the Social Security Contributions and Benefits (Northern Ireland) Act 1992 and the Income Support (General) Regulations (Northern Ireland) 1987,

(ii) in the case of income-based jobseeker’s allowance, Part 1 of the Jobseekers Order 1995 and the JSA Regulations 1996, or

(iii) in the case of income-related employment and support allowance, Part 1 of the 2007 Act the ESA Regulations 2008 and the ESA (Transitional Provisions) Regulations 2010,

on the basis of the information held by the Department on that day; and

(b) convert to a monthly figure by multiplying by 52 and dividing by 12.

(5) The amount of an award of income-based jobseeker’s allowance or income-related employment and support allowance is to be calculated before any reduction for a sanction.

(6) Where —

(a) a claimant who is entitled to income-based jobseeker’s allowance is also entitled to contribution-based jobseeker’s allowance; or

(b) a claimant who is entitled to income-related employment and support allowance is also entitled to a contributory allowance,

then, notwithstanding Article 6(8) to (11) of the Jobseekers Order 1995 and section 6(3) to (7) of the 2007 Act (excess over the contributory allowance to be treated as attributable to the income-based, or income-related, allowance) the weekly rate in paragraph (4) is to be calculated as the applicable amount less the claimant’s income (if any).

Housing benefit

(7) To calculate the representative monthly rate of an award of housing benefit , in the form of a rent rebate or allowance awarded in connection with regulation 13 of the Housing Benefit Regulations or regulation 13 of the Housing Benefit (State Pension Credit) Regulations,—

(a) take the weekly rate on the migration day calculated in accordance with Part 7 of the Social Security Contributions and Benefits (Northern Ireland) Act 1992 and the Housing Benefit Regulations, on the basis of the information held by the Department on that day, and convert to a monthly figure by multiplying by 52 and dividing by 12; or

(b) in a case where the claimant has rent free periods, calculate the annual rate by multiplying the weekly rate (as above) by the number of weeks in the year in respect of which the claimant is liable to pay rent, and convert to a monthly figure by dividing by 12.

(8) For the purposes of paragraph (7), if the migration day falls in a rent free period, the weekly rate of housing benefit is to be calculated by reference to the amount of rent for the last complete week that was not a rent free period.

(9) In paragraphs (7) and (8) “rent free period” has the meaning in regulation 79 of the Housing Benefit Regulations.

(10) In a case where regulation 6(3) (continuation of housing benefit in respect of specified accommodation or temporary accommodation) applies, no amount is to be included in the total legacy amount for housing benefit in respect of specified or temporary accommodation.

The benefit cap

(11) Where—

(a) the existing benefits do not include an award of housing benefit, or they include an award of housing benefit , in the form of a rent rebate or allowance awarded in connection with regulation 13 of the Housing Benefit Regulations or regulation 13 of the Housing Benefit (State Pension Credit) Regulations, that has been reduced to the minimum amount by virtue of Part 8A of the Housing Benefit Regulations (the benefit cap);

(b) Part 7 of the Universal Credit Regulations (the benefit cap) applies in the calculation of the indicative UC amount; and

(c) the claimant’s total entitlement to welfare benefits (as defined in Article 101(7) of the Order) on the migration day is greater than the relevant amount,

the total legacy amount is reduced by the excess (minus the amount for childcare costs referred to in regulation 55(2)(b) where applicable) over the relevant amount.

(12) For the purposes of paragraph (11)—

(a) the amount of each welfare benefit is the monthly equivalent calculated in the manner set out in regulation 73 (unearned income calculated monthly) of the Universal Credit Regulations; and

(b) the “relevant amount” is the amount referred to in regulation 80A of those Regulations which is applicable to the claimant.

The transitional element - indicative UC amount

55

(1) The indicative UC amount is the amount to which a claimant would be entitled if an award of universal credit were calculated in accordance with Article 13 of the Order by reference to the claimant’s circumstances on the migration day, applying the assumptions in paragraph (2).

(2) The assumptions are—

(a) if the claimant is entitled to an award of child tax credit, the claimant is responsible for any child or qualifying young person in respect of whom the individual element of child tax credit is payable;

(b) if the claimant is entitled to an award of working tax credit that includes the childcare element, the indicative UC amount includes the childcare costs element and, for the purposes of calculating the amount of that element, the amount of the childcare costs is equal to the relevant weekly childcare charges included in the calculation of the daily rate referred to in regulation 54(2), converted to a monthly amount by multiplying by 52 and dividing by 12;

(i) if the claimant is entitled to an award of a tax credit, the annual amount of any employment income or trading income, as defined by regulation 4 or 6 respectively of the Tax Credits (Definition and Calculation of Income) Regulations 2002, by reference to which the representative monthly rate of that tax credit is calculated for the purposes of regulation 54(2) converted to a net monthly amount by—

(aa) dividing by 12, and

(bb) deducting such amount for income tax and national insurance contributions as the Department considers appropriate;

(ii) if paragraph (i) does not apply and the claimant is entitled to an award of income support, income-based jobseeker’s allowance or income-related employment and support allowance, the amount of earnings by reference to which the representative monthly rate of that benefit was calculated for the purposes of regulation 54(4) to (6) (including nil if none were taken into account) converted to a monthly amount by multiplying by 52 and dividing by 12, or

(iii) if paragraphs (i) and (ii) do not apply, but the claimant had an award of housing benefit, the amount of earnings by reference to which the representative monthly rate of that benefit was calculated for the purposes of regulation 54(7) to (10) (including nil if none were taken into account) converted to a monthly amount by multiplying by 52 and dividing by 12.

(3) If the claimant would not meet the financial condition in Article 10(1)(b) of the Order (or, in the case of joint claimants, they would not meet the condition in Article 10(2)(b) of the Order) the claimant is to be treated, for the purposes of calculating the indicative UC amount, as if they were entitled to an award of universal credit of a nil amount.

(4) If a transitional capital disregard is to apply, the claimant is to be treated as having met the financial condition in Article 10(1)(a) or (2)(a) of the Order (capital limit).

(5) The indicative UC amount is to be calculated after any reduction under Part 7 of the Universal Credit Regulations (the benefit cap) but before any reduction under Article 31 (higher-level sanctions) or 32 (other sanctions) of the Order.

(6) But there is to be no reduction for the benefit cap under that Part where the amount of the claimant’s earned income (or, in the case of a couple their combined earned income) on the migration day, calculated in accordance with paragraph (2)(c), is equal to or exceeds the amount specified in regulation 82(1)(a) of the Universal Credit Regulations (exceptions – earnings).

(7) The calculation of the indicative UC amount is to be based on information that is used for the purposes of calculating the total legacy amount, supplemented as necessary by such further information or evidence as the Department requires.

The transitional element – initial amount and adjustment where other elements increase

56

(1) The initial amount of the transitional element is—

(a) if the indicative UC amount is greater than nil, the amount by which the total legacy amount exceeds the indicative UC amount; or

(b) if the indicative UC amount is nil, the total legacy amount plus any amount by which the income which fell to be deducted in accordance with Article 13(3) of the Order exceeded the maximum amount.

(2) The amount of the transitional element to be included in the calculation of an award is—

(a) for the first assessment period, the initial amount;

(b) for the second assessment period, the initial amount reduced by the sum of any relevant increases in that assessment period;

(c) for the third and each subsequent assessment period, the amount that was included for the previous assessment period reduced by the sum of any relevant increases (as in sub-paragraph (b)).

(3) If the amount of the transitional element is reduced to nil in any assessment period, a transitional element is not to apply in the calculation of the award for any subsequent assessment period.

(4) A “relevant increase” is , subject to paragraphs (5) and (5A), an increase in any of the amounts that are included in the maximum amount under Articles 14 to 17 of the Order (including any of those amounts that is included for the first time , or included again following a change of circumstances), apart from the childcare costs element.

(5) In cases where the LCW is replaced by the LCWRA element, the “relevant increase” is to be treated as the difference between the amounts of those elements.

(5A) There is to be no “relevant increase” with respect to the inclusion of a housing costs element in a case where the claimant was entitled to an award of housing benefit in respect of specified accommodation or temporary accommodation within the month ending with the first day of the assessment period in which the housing costs element is included.

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