The Department for Work and Pensions has issued new guidance for eligible Tax Credit claimants over State Pension age due to receive an important letter in the post
The Department for Work and Pensions has released new advice for eligible Tax Credit claimants over State Pension age who are set to receive a crucial letter in the post before the end of the current financial year, when the legacy benefit will cease. The letter will inform them whether they need to apply for Universal Credit or Pension Credit if they want to keep receiving financial support.
Which benefit will pension-age Tax Credit claimants be asked to move to? Those of pension age claiming Tax Credit will be prompted to apply for Universal Credit under certain conditions: If Pension-age Tax Credit claimants already receive an award of Pension Credit on the day they receive a closure notice, they will continue to receive Pension Credit.
The DWP has stated that because a claim to Universal Credit would terminate their pension-age Housing Benefit award, the rules have been adjusted to allow these claimants to re-claim pension-age Housing Benefit provided they do so within three months of the end of their Universal Credit award. For individuals transitioning to Universal Credit, this support takes the form of a transitional element.
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