What is Universal Credit?
Universal Credit is a means-tested benefit for people who are on a low income and of working age, whether you are in work or not work.
It has replaced the following existing benefits, which are now known as "legacy benefits":
- Income support
- Income-based Jobseeker's Allowance (JSA)
- Income-related Employment and Support Allowance (ESA)
- Child tax credit
- Working tax credit
- Housing benefit
As a means-tested benefit, the amount of UC you will get depends on your income and savings. Contributions-based benefits such as contributions-based JSA and ESA, remain unaffected by Universal Credit. Child Benefit, Carer's Allowance (CSP in Scotland), Bereavement Support Payment and Personal Independence Payment (ADP in Scotland) are also unaffected by Universal Credit and you can continue to claim these benefits.
Universal Credit includes a standard allowance and can include additional amounts for people with limited capability for work or for work-related activity, caring responsibilities; children; children with disabilities and housing costs.
The amount of Universal Credit is set to a maximum award, called the Benefit Cap, to include both daily living costs and housing costs. Some people are exempt from the Benefit Cap, including those that receive DLA (CDP in Scotland), AA or PIP (ADP in Scotland) or the support component of ESA, industrial Injuries Benefits (and equivalent war disablement pensions and payments under the Armed Forces Compensation Scheme) or a War Widows and War Widowers pension.
If you are making a new claim to means tested benefits, or if there are certain changes in your circumstances, you may have to claim Universal Credit. If you already receive a means tested benefit but your circumstances don't change the Government plan is for you to be moved over to Universal Credit as part of a managed migration between 2022 and 2029. This time frame however is subject to change.
Further information can be found on RNIB's Universal Credit webpage.
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