Court of Appeal upholds decision that universal credit payments can be backdated on revision, but claimants risk still being thwarted by DWP IT design flaws and those subject to managed migration face ‘double whammy’ loss of transitional protections and backdated payments.
Our interviews show that claimants did not have the information they needed or wanted to understand how moving to UC would affect them. Such misinformation and misunderstanding are likely to be reasons some people are not moving to UC despite having a strong financial incentive to do so.
Two-thirds of people sent a migration notice between November 2022 and March 2023 made a successful UC claim before their migration deadline. A further 5 per cent made a claim after their deadline had passed. And 28 per cent did not claim UC at all and had their legacy benefit payments terminated. We are concerned that a sizeable minority of claimants are falling through the gaps.
The DWP’s research during the discovery phase of managed migration to universal credit (UC) concluded that ‘on the whole households are able to make the move to UC.’ But we are finding that, when issues do arise, the consequences can be serious for claimants causing stress, budgeting difficulties and debt.