Are you ready for the new benefit changes?
Universal Credit is a new simpler, single monthly payment for people in or out of work, which merges together some of the benefits and tax credits that you might be getting now.
Universal Credit will replace:
- Income-based Jobseeker's Allowance
- Income-related Employment and Support Allowance
- Income Support
- Child Tax Credit
- Working Tax Credit
- Housing Benefit
If you're on a low income, you will probably still get Universal Credit when you first start a new job or increase your part-time hours.
Universal Credit will be paid in a different way to current benefits:
- it will be paid monthly into an account you choose;
- if you and your partner are both eligible, you will get one monthly payment for the household;
- if you get help with your rent, this will be included in your monthly payment - you will then be responsible for making payment to your landlord yourself.
Universal Credit will generally be managed online. You can make your claim online, then check on your payments and updates through your online account.
There are some other important changes to a number of other benefits in 2013.
- Disability Living Allowance will be replaced by Personal Independence Payment from 2013.
- Council Tax Benefit will be abolished and replaced by a system of localised support.
- Pension Credit will be amended from October 2014 to include help with eligible rent and dependent children.
- Social Fund is also being reformed to introduce new local assistance. See our Local Support Payments Loans product.
- A cap on the total amount of benefits that can be claimed is being introduced
- A cap on Housing Benefit you receive if you have a spare bedroom based on new government rules.
To find out the most up to date information visit the DWP website at;
What is London Plus Credit Union doing to support its members through these changes?.
- Offering a Jam Jar Budget Plus account hyperlink that will set aside your rent and pay this directly to your landlord, protecting your home for you and your family.
- Offering a Pre-Paid Debit card Hyperlink to receive monies at a frequency that suits you. Use your card online, in shops, get cash back and withdraw monies at ATMs*
- Offer Online budgeting tools and support
We are working with a Dr Edwards, Bishop Kings Charity to help our local members prepare for these changes. We want you to have the right tools and support to ensure that you understand how these changes may affect your financial circumstances and more importantly work with your landlords to help you protect your home.