personal finance

Universal Credit: Why payment may be stopped – reasons include not reporting rent going UP


Universal Credit payments are usually made monthly, although this may be twice a month for those living in Scotland or Northern Ireland. The benefit replaces a number of benefits, including Child Tax Credit, Housing Benefit, Income Support, income-based Jobseeker’s Allowance (JSA), income-related Employment and Support Allowance (ESA) and Working Tax Credit. A person needs to create an account online and then submit their claim in order to get the payment. They will then undergo an assessment period, which includes an interview with their work coach.

During this time, the claimant will need to sign an agreement with the work coach known as the Claimant Commitment.

This will detail the responsibilities which one must meet in order to get the payments.

Other required activities will depend on an individual’s personal situation and be listed in this commitment.

It may include things such as writing a CV, looking and applying for jobs, and/or going on training courses.

Failure to meet the agreed tasks in the Claimant Commitment, or not meeting one’s responsibilities could result in Universal Credit payments being stopped or reduced.

This is known as a sanction, and they are split into different levels – based on what has happened and how often it has occurred.

The government website states that a claimant must report changes to their circumstances in order to ensure that they get the right amount each month.

“Your claim might be stopped or reduced if you do not report a change of circumstances straight away,” the guidance on gov.uk states.

The website also details some changes which, should they occur in one’s life, should be reported.

Gov.uk explain that changes can include:

  • Finding or finishing a job
  • Having a child
  • Moving in with your partner
  • Starting to care for a child or disabled person
  • Moving to a new address
  • Changing your bank details
  • Your rent going up or down
  • Changes to your health condition
  • Becoming too ill to work or meet your work coach
  • Changes to your earnings (only if you’re self-employed)

It’s possible to report a change of circumstances by signing in to one’s Universal Credit account.

Universal Credit is paid monthly, usually into the claimant’s bank account, building society account, or credit union account.

Should an applicant for Universal Credit be able to open one of these accounts, then the gov.uk website advises that they call the Universal Credit helpline.

Following the first claim, it usually takes around five weeks for the money to be paid into one’s account.

This includes a one month assessment period, and up to seven days for the money to reach the account.

It’s possible to apply for an advance on a first payment, however this needs to be repaid from subsequent Universal Credit payments – starting from the first payment.



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