How to check if you’d be better off with Legacy Benefits or Universal Credit | Personal finance | Finance

This spring, some Britons who depend on legacy benefits, such as in-work tax credits and jobseeker’s allowance, will be transferred to the new universal credit system. However, some will have to wait until 2024 unless they initiate a change. Before taking action, applicants are advised to check whether they would in fact be better off.

Universal Credit was first introduced by the DWP in 2013 to streamline the UK benefit system.

It replaces six benefits inherited from the old style: income support, income-based jobseeker’s allowance, income-related employment and support allowance, working tax credit, tax credit for child and housing allowance.

Although millions of Britons have already been displaced, things have come to a halt due to the COVID-19 pandemic.

Now the DWP has restarted the process which is expected to last until 2024.

READ MORE: Child care allowance: Nearly half a million people don’t get DWP allowance

The DWP has launched a new section on the Universal Credit website for tax credit customers explaining the difference in benefits.

It also has a handy benefit calculator so people can see the difference for themselves.

On the Citizen’s Advice website, it says: “If your job, home or family situation changes, you may be better off applying for Universal Credit.

“Some changes will end your claim for benefits – so applying for Universal Credit might be the only way to replace them.”

To find out if people will be better off with Universal Credit, they’ll need details about:

  • Income – including any income or benefit
  • Rent and living expenses
  • Savings and investments

Applicants can find out more by visiting