Thousands of disabled people whose income was slashed when they moved on to Universal Credit are in line for extra payments of up to £405 a month from October..
Universal Credit claimants cannot currently receive Severe Disability Premium (SDP) payments, which is an extra amount paid with some means-tested benefits to help with the cost of disability.
There is a transitioning process in place for this and Justin Tomlinson, the Minister of State for Disabled People, recently addressed this in Parliament., The Express reports.
Universal Credit replaced six existing legacy benefits which will be completely replaced by 2024. There are still people who are claiming legacy benefits may also be able to receive SDP payments if they have certain disabilities.
For people who were entitled to SDP on certain legacy benefits who then claim or move onto Universal Credit they could be entitled to compensation payments.
Additionally, transitional payments may be available and the DWP is working on trying to identify everyone who is entitled to said compensation.
Interestingly, if a claimant was entitled to SDP on income Support, income-related Employment and Support Allowance, income-based Jobseeker's Allowance or Housing Benefit, and they claimed Universal Credit after January 16 2019, they can also choose to go back onto the benefits Universal Credit replaces.
Yesterday, in a written statement made by Justin Tomlinson, SDP transitions were addressed.
As he detailed: “I also want to update the House on the administration of Severe Disability Premium Transitional Payments (SDP).
“On July 22 2019, we laid legislation to provide additional financial support for former SDP recipients who had moved to Universal Credit on account of a change of circumstances.
“As at January 17 2020, we had already paid over 15,000 people, totalling more than £51.5 million.
“The UC (Managed Migration Pilot and Miscellaneous Amendments) Regulations 2019 provide for the conversion of these transitional payments into transitional elements.
“This means that payments will be made through the UC system rather than manually, and all transitional protection will be subject to the same rules.
“I will be signing a Determination setting the conversion day to 8 October 2020 and will place a copy in the library.
“This is when the UC system will have capacity to convert SDP transitional payments to transitional elements”
In 2019, the government reviewed its levels of transitional payments and increased the monthly payments.
The payments will be based on whether a claim covers a single person or a couple and whether it is in the limited capability for work and work-related activity group.
The payments were raised to either £120, £285 or £405 per month depending on circumstances.
Legacy benefit claimants don’t need to move onto Universal Credit unless they’ve had a change of circumstances.
Additionally, DWP may send claimants a letter asking them to move to Universal Credit.
