Martin Lewis Emergency Alert for DWP Tax Credit Plaintiffs – Irvine Times

It is confusing that tax loans are not really related to your tax – they are payments to help with living costs, and were divided into tax loans for children and working tax loans.

The plaintiffs have received emergency letters from DWP as tax loans will end on April 5, 2025, the first of the series of inherited benefits.

But as Martin Lewis explained in his television show, the plaintiffs must apply to move to Universal Credit when they receive their letter of migration notice.

This is vital for two reasons.

1. Payments will cease in April 2025

People will lose their benefits if they do not work now and it will take time to start a new statement.

2. You can receive transitional protection payments

This protection helps people who receive less under universal credit than their current benefits. For example, if someone receives £ 600 pounds of tax loans, but will only be entitled to £ 400 under Universal Credit, it can receive 200 pounds to maintain its current level.

This can cost thousands of pounds, so don’t delay.

Transitional protection sounds short-term, but actually continues until the amount you receive in a universal credit is no more than the amount you have used to get your old benefits-for example, as universal credit amounts increase in accordance with inflation every year Or you are entitled to more support.

It lasts only until your circumstances remain the same – and can be lost due to a significant change in life that causes a reassessment of your eligibility – for example, you reach state retirement age, start a higher paid job or move with a partner.

What happens if I do nothing?

If you decide not to claim a universal loan now, your existing benefits will still end. You can request a universal credit later as much as normal credit eligibility rules may be applied You will not be entitled to transitional protection.

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But thousands of those who have received tax loans have not yet registered for universal loan and the weather is rapidly expiring.

Studies conducted by IPSOS UK on behalf of the Ministry of Work and Pensions for low upholding, found that while 78 percent of the respondents claim to be aware of a universal loan, seven to 10 are not aware of transitional protection payments.

What is governed by migration?

This move is part of the current DWP migration managing program, which aims to move all claimants to hereditary benefits to universal credit until March 2026.

They include

• Loans for children’s taxes
• Housing
• Income -based assistance
• Income employment and support assistance
• Income maintenance
• Working tax credits

There is significant confusion about the transition process, with many recipients at risk of losing their transitional protection if they do not respond within three months of receiving their notice.

DWP plans to send migration notifications to all LEGACY BENEFIT claimants by the end of this year. The migration notice will describe in detail the exact date that one must bring a claim.

Those who need help with their migration can contact the Universal Credit Migration Auxiliary Line, open from Monday to Friday, 8:00 to 6:00 pm on Freephone 0800 169 0328.