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DWP Sets April 2026 End for Legacy Benefits as Bank Data Checks Begin and One‑Off Payments Halt

Officials describe a package designed to rebalance Universal Credit with tighter eligibility checks to safeguard funds.

Overview

  • Income Support and income‑based Jobseeker’s Allowance will stop on 1 April 2026, with migration notices instructing claimants to move to Universal Credit and transitional protection applied automatically where needed.
  • The DWP plans to complete the transfer of income‑related ESA claimants to Universal Credit by March 2026, moving them to the Health Element with commensurate protections for existing ESA rates.
  • From April, reforms under the Universal Credit Act raise the standard allowance and set the health top‑up for new claims at £50 per week, while existing recipients of the health element remain protected.
  • New Eligibility Verification Measure powers roll out this year, requiring banks to share limited data for Universal Credit, Pension Credit and ESA to spot ineligible claims, with DWP estimating 50,000–100,000 overpayments identified annually and savings validated by the OBR.
  • The DWP has confirmed there will be no further Cost of Living Payments in 2026, and has outlined additional recovery tools including direct deduction orders to recoup debts from former claimants.