Universal Credit

Universal credit (UC) is now available  across the UK. As a result, HMRC state that most people can no longer make brand new claims for tax credits and other benefits that UC replaces, however there are some exceptions to this.

Existing tax credit claimants are currently unaffected by the roll-out of UC unless they choose to make a UC claim, have a change of circumstances that ends their tax credit claim but they need to continue claiming similar support, or they need to make a new claim for another benefit that UC has replaced (such as housing benefit).

This section of the website explains who can claim UC including how it affects existing tax credit claimants, gives an overview of the entitlement rules of UC and links to helpful UC guidance and leaflets.

Latest updates

New regulations (24 November 2021): Universal Credit (Exception to the Requirement not to be receiving Education) (Amendment) Regulations (Northern Ireland) 2021 (SR.No.303/2021) - Provide for the exception to the universal credit basic condition not to be receiving education on the grounds of receipt of a disability benefit to apply only when a person has also been determined to have limited capability for work on a date before the person starts undertaking a course of education >> More universal credit legislation

New regulations (24 November 2021): Universal Credit (Work Allowance and Taper) (Amendment) Regulations (Northern Ireland) 2021 (SR.No.302/2021) - Provide for a reduction in the universal credit taper rate from 63 per cent to 55 per cent, and for work allowances to be increased by £500 per year >> More universal credit legislation

New regulations (18 November 2021): Universal Credit (Work Allowance and Taper) (Amendment) Regulations 2021 (SI.No.1283/2021) - Provide for a reduction in the universal credit taper rate from 63 per cent to 55 per cent, and for work allowances to be increased by £500 per year >> More universal credit legislation

New regulations (4 November 2021): Universal Credit (Exceptions to the Requirement not to be receiving Education) (Amendment) Regulations 2021 (SI.No.1224/2021) - Provide for the exception to the universal credit basic condition not to be receiving education on the grounds of receipt of a disability benefit to apply only when a person has also been determined to have limited capability for work on a date before the person starts undertaking a course of education >> More universal credit legislation

New Court of Appeal decision (8 October 2021): Pantellerisco & Ors v Secretary of State for Work and Pensions [2021] EWCA Civ 1454 - Court of Appeal rules that universal credit benefit cap earnings assessment is not irrational and unlawful in the case of a four-weekly paid claimant  >> More universal credit case law

New regulations (13 September 2021): Housing Benefit and Universal Credit (Sanctuary Schemes) (Amendment) Regulations (Northern Ireland) 2021 (SR.No.248/2021) - Provide an exception to the bedroom tax for claimants living in a social sector property that has been adapted under a sanctuary scheme in Northern Ireland >> More universal credit legislation

New regulations (10 September 2021): Domestic Abuse Support (Relevant Accommodation and Housing Benefit and Universal Credit Sanctuary Schemes) (Amendment) Regulations 2021 (SI.No.991/2021) - Provide an exception to the bedroom tax for claimants living in a social sector property that has been adapted under a sanctuary scheme >> More universal credit legislation

New regulations (13 July 2021): Universal Credit (Coronavirus) (Restoration of the Minimum Income Floor) Regulations (Northern Ireland) 2021 (SR.No.209/2021)  - Provide for the reintroduction of the universal credit minimum income floor in Northern Ireland over the 12 months to 31 July 2022 >> More universal credit legislation

New regulations (8 July 2021): Universal Credit (Coronavirus) (Restoration of the Minimum Income Floor) Regulations 2021 (SI.No.807/2021) - New regulations have been issued to give the DWP flexibility to manage the reintroduction of the minimum income floor (MIF) over the 12 months to 31 July 2022 >> More universal credit legislation

New Upper Tribunal decision (18 June 2021): CSUC/280/2020 - Tribunal correct to take two lots of four-weekly paid wages into account in one universal credit assessment period / Johnson and Pantellerisco did not apply >> More universal credit case law