Families with 3+ children will not be able to make a new claim for Universal Credit after 5th April - they must claim legacy benefits instead
Due to the introduction of the two child limit from April - which would have meant an overall limit to two child elements for all new claims for Universal Credit - the DWP have confirmed that families with three or more children will not be able to make a new claim for Universal Credit - even in the 'Full'/Digital service areas - instead they will be able to claim legacy benefits, where the two child limit rules will be slightly more generous.
Where all the claimant's children were born before 6th April 2017 they would be entitled (under Child Tax Credit and Housing Benefit) to additions in their benefits for each child. However, any child born on or after 6th April 2017 will not be allocated a Child Element in CTC or a Child Allowance in HB if there are alreacy two or more child elements/allowances included - unless the child is specifically excluded from this limit.
Click here for more information on the exclusions - with examples on how we expect the two child limit to work from April.
This 're-direction' of new UC claims to the legacy benefit system could mean that some families already on Universal Credit could be better off ending their Universal Credit claim and making claims for the legacy benefits instead - briefing on this due soon.
This 're-direction has been confirmed in HB Bulletin G2/2017 - click here. This is an interim measure - it is expected that families with three or more children will be able to make new claims for Universal Credit from late 2018.
If you would like more information and an opportunity to discuss the impact of this benefit change then why not get booked onto one of our workshops - click here for more details.