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Moving from Tax Credits to Universal Credit | Managed Migration Guide 2026

27 May 2026 · 6 min read · UK Benefits Calculator

If you are still receiving Child Tax Credit or Working Tax Credit, you will receive a migration notice telling you to move to Universal Credit by a specific deadline. This is called managed migration. Once you claim UC, tax credits stop. Transitional protection can bridge any gap in the amount you receive, but only if you claim UC before the deadline.

What managed migration is and how it works

DWP is moving all remaining legacy benefit claimants to Universal Credit by rolling out managed migration across different groups. When it is your turn, DWP sends you a migration notice giving you three months to make a UC claim. If you claim UC before the deadline, your tax credits stop and UC starts. If you miss the deadline without claiming, your tax credits also stop but you get no transitional protection.

What happens to your tax credit amount

Tax credits and UC are calculated differently, so most people find their UC award is different from their tax credit amount. For some, UC pays more. For others, there is a gap. The transitional protection element is designed to bridge any shortfall at the point of migration. It is added on top of your UC award so that your total is not less than what you were getting on tax credits at the point of switching.

How transitional protection works

Transitional protection is a top-up paid with your UC. It fills the gap between your expected UC amount and your old tax credit amount at the point of migration. It does not increase; it erodes over time as your UC rises due to cost-of-living upratings. It is not a permanent feature. Major changes to your circumstances, such as moving in with a partner, having a child or a big income change, can reduce or remove transitional protection.

Claiming UC before the deadline: step by step

Read your migration notice carefully for the deadline date. Gather your bank details, national insurance number, rent information, employment details and details of any income and savings. Go to gov.uk/universal-credit and start your claim. Complete the claim fully and attend your first appointment with your work coach. Once UC is awarded, HMRC will end your tax credits.

Housing Benefit and managed migration

Housing Benefit for working-age claimants is also being ended as part of the migration process. When you move to UC, the housing cost element within UC replaces Housing Benefit. The Local Housing Allowance rates and bedroom rules apply in the same way. If you are pension-age, you may continue to receive Housing Benefit separately from UC.

What to do if you are struggling with the switch

Citizens Advice, local welfare rights organisations and many charities offer free help with managed migration. If you have complex circumstances, such as disability, caring responsibilities or self-employment, getting advice before claiming UC is worthwhile. You can also ask DWP for more time if you have a genuine reason. Call the UC migration notice helpline on the number printed on your notice.

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Independent article only. Written using published 2026/27 DWP and HMRC figures. Not an official government service. Use the calculators linked on this page to estimate your own position.