Households across the UK are being warned a major DWP benefit will be scrapped forever from April. Tax credits are being ended by the Government as part of a huge shake-up of the welfare system.
People who claim them will need to move over to either Universal Credit or Pension Credit depending on their circumstances. Many claimants will have already moved off the various forms of tax credits.
But anyone who has received a migration notice from the Government has three months to apply for either Universal Credit or Pension Credit otherwise their payments will be stopped. Ministers have urged everyone still on tax credits to take action immediately when they receive their migration notice.
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The Government has warned no further tax credit payments will be made after April 5. The Government explained: “Universal Credit is replacing tax credits. If you do not claim by the deadline date in that letter your existing tax credits payments will stop, even if you have just renewed your tax credits claim. If you are claiming tax credits and are state pension age or over, the DWP or the Department for Communities will write to you to ask you to apply for Universal Credit or Pension Credit, depending on your circumstances.
“A very small number of customers will not be eligible for Universal Credit or Pension Credit. These customers will be able to remain on and receive tax credits until April 5, 2025, unless a change in their circumstances ends tax credits sooner. After this date, tax credits will end, and no further tax credits payments will be made.”
The end of tax credits is a continuation of major changes to the welfare system which is seeing a number of benefits being axed and brought under Universal Credit.