What is Universal Credit
Universal Credit (UC) is a new benefit system and is the single biggest change to the welfare system since it began. It replaces Housing Benefit, Working Tax Credit, Child Tax Credit, Income Support, Employment and Support Allowance and Jobseeker’s Allowance. It will affect most ‘working age’ claimants.
There are 2 key ideas behind this change:
1. UC replaces 6 benefits with a single monthly payment.
2. UC should make you better off in work.
What benefits will UC cover
The following benefits will be covered under Universal Credit:
- Child Tax Credit
- Employment and Support Allowancet
- Housing Benefitt
- Income Supportt
- Working Tax Creditt
- Jobseeker’s Allowance (with some exceptions)
How will the system change?
Universal Credit is designed to make benefit payments more like a salary.
The key changes to the system are:
- All the benefits will be paid together in one monthly payment.
- Monthly payments will be in arrears.
- One payment per couple, if partners are claiming (with some exceptions).
- A bank account or similar is required.
- Housing Benefit is paid to claimant, not Landlord (with some exceptions).
- Claims will be managed online.
The biggest challenge is that at the start you’ll have to go for at least 5 weeks without any money before you’ll suddenly get a large amount. The only way you’ll manage this is to be prepared.
UC Application Timeline
This is how long a typical UC application will take to set up.
WEEK 1 – Make UC claim, Arrange an appointment with JobCentre Plus
WEEK 2 – Go to an appointment with JobCentre Plus, After interview, wait 4 weeks until you get your first payment
WEEK 3 – Any previous Housing Benefit claim stops (after 2 weeks)
WEEK 4 – Waiting
WEEK 5 – First UC payment received (but can take up to 7 days to appear in your bank account)
How to Make a UC Claim
You’ll need to provide lots of details before you can complete your claim, so make sure you have the following information to hand at the start.
For couples who claim, both partners will need the same information:
- Your full name, address, phone number and your email address.
- Proof of ID (passport, driving licence or EEA ID Card).
- National Insurance Number.
- Your bank details.
- Full details of your salary and any other income (including other benefits).
- Details of any savings you may have.
- Your Landlord’s (Bro Myrddin’s) address.
- How much rent you pay (you may need your tenancy agreement or a recent rent statement).
If you have children, you’ll need:
- Their details including their Child Benefit number.
- Childcare Provider’s name, address and registration number (if applicable).
Get Busy with the 3 B’s now
Here’s how you can make a start:
Budgeting:
Plan ahead to make sure that payments will cover your day to day expenses as well as essential bills and rent.
Banking:
UC Claimants will need a bank account. This could be a Current Account, a Credit Union Account or a Basic Bank Account (available at most banks for people with poor credit history).
Being Online:
To make and manage your claim.