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Manage migration from IRESA no transitional protection yet
- HWstockport benefits
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1 week 4 days ago #298505 by HWstockport benefits
Manage migration from IRESA no transitional protection yet was created by HWstockport benefits
Hi I’m supporting a vulnerable member of our charity who received a managed migration notice deadline 31st October 24. Previously in receipt of IRESA. Her youngest child was in full-time education at college until end of of last school year, child tax credits ceased 30 August 2024. Her UC payment is over £50 less per fortnight than she was receiving previously, and they are also not paying the same rent she was receiving previously. I’ve pointed out the need for them to provide transitional protection given this was an enforced migration and quoted government guidelines on this. They are adamant they are powerless to calculate her indicative UC amount and therefore the transitional protection she is entitled to until they hear from HMRC to confirm the last date and amount of her tax credit payment to avoid her receiving potentially a large overpayment. I have not come across this before and wondered if any members have it can assist? I have asked them to escalate matters with the HMRC & tell them they are putting a vulnerable person into debt – she is already being chased by her housing association landlord and various utilities and also to provide contact details to HMRC so we can complain to them direct, but they are ignoring this so far. This is an example of the type of reply they are providing on the journal to my complaints: –We are still waiting for a resolution to allow us to calculate any Transitional Protection that may be due.
The issue is that the information about Tax Credits from HMRC has not been provided, and they have to confirm the end of your entitlement to Tax Credits as well as the period you were last paid for by them - the two are not always the same, and we cannot assume.
Any guidance would be very much appreciated, thank you
I can promise that once the details have been received we will get the calculations done - everything on our side is set up and ready to do this.
What I cannot say is exactly how much longer this will take - it is being dictated by HMRC, and we cannot use an estimate as it could create a large overpayment of Universal Credit if it is wrong.
We will let you know just as soon as we know ourselves; again, I am sorry for time it is taking and the obvious distress this is causing, but we will resolve the issue as soon as we are able to.
The issue is that the information about Tax Credits from HMRC has not been provided, and they have to confirm the end of your entitlement to Tax Credits as well as the period you were last paid for by them - the two are not always the same, and we cannot assume.
Any guidance would be very much appreciated, thank you
I can promise that once the details have been received we will get the calculations done - everything on our side is set up and ready to do this.
What I cannot say is exactly how much longer this will take - it is being dictated by HMRC, and we cannot use an estimate as it could create a large overpayment of Universal Credit if it is wrong.
We will let you know just as soon as we know ourselves; again, I am sorry for time it is taking and the obvious distress this is causing, but we will resolve the issue as soon as we are able to.
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1 week 4 days ago #298511 by David
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by David on topic Manage migration from IRESA no transitional protection yet
Hi HWstockport benefits,
You say "They are adamant they are powerless to calculate her indicative UC amount and therefore the transitional protection she is entitled to until they hear from HMRC to confirm the last date and amount of her tax credit payment to avoid her receiving potentially a large overpayment."
This is incorrect. Transitional Protection rules require them to base the transitional element calculation on the tax credit “award” as on migration day, and not the entitlement as later finalised. The income from the previous year or an estimated figure can be used.-- see below from Gov.uk
Moving from tax credits
We ask HMRC for information about your tax credits claim. This information is used in the transitional element calculation. HMRC information includes details such as your previously reported income.
HMRC calculate tax credits using your annual income. They do not use actual current year income because this is not known in advance.
Therefore, your indicative Universal Credit award, including the transitional element calculation, will either be based on your:
income from the previous year
estimated income: what you told HMRC your current year income is likely to be
You must report any change in circumstances to HMRC before applying for Universal Credit.
www.gov.uk/guidance/how-the-transitional...ing-from-tax-credits
The DWP District Manager for Greater Manchester is Amy Pond and her email is This email address is being protected from spambots. You need JavaScript enabled to view it.
I would make a complaint by email to her giving full details of the error. It is UC creating the problem that has nothing to do with the HMRC. The email is normally received by her PA and then passed to the manager of the UC Service Centre which has made the mistake.
Let me know how you get on.
David
You say "They are adamant they are powerless to calculate her indicative UC amount and therefore the transitional protection she is entitled to until they hear from HMRC to confirm the last date and amount of her tax credit payment to avoid her receiving potentially a large overpayment."
This is incorrect. Transitional Protection rules require them to base the transitional element calculation on the tax credit “award” as on migration day, and not the entitlement as later finalised. The income from the previous year or an estimated figure can be used.-- see below from Gov.uk
Moving from tax credits
We ask HMRC for information about your tax credits claim. This information is used in the transitional element calculation. HMRC information includes details such as your previously reported income.
HMRC calculate tax credits using your annual income. They do not use actual current year income because this is not known in advance.
Therefore, your indicative Universal Credit award, including the transitional element calculation, will either be based on your:
income from the previous year
estimated income: what you told HMRC your current year income is likely to be
You must report any change in circumstances to HMRC before applying for Universal Credit.
www.gov.uk/guidance/how-the-transitional...ing-from-tax-credits
The DWP District Manager for Greater Manchester is Amy Pond and her email is This email address is being protected from spambots. You need JavaScript enabled to view it.
I would make a complaint by email to her giving full details of the error. It is UC creating the problem that has nothing to do with the HMRC. The email is normally received by her PA and then passed to the manager of the UC Service Centre which has made the mistake.
Let me know how you get on.
David
Nothing on this board constitutes legal advice - always consult a professional about specific problems
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1 week 4 days ago #298520 by HWstockport benefits
Replied by HWstockport benefits on topic Manage migration from IRESA no transitional protection yet
Thanks, David. This is very helpful and I will action forthwith and let you know what happens. Kind regards, Rachel
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1 week 4 days ago - 1 week 4 days ago #298522 by David
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by David on topic Manage migration from IRESA no transitional protection yet
Hi Rachel,
One of the most comprehensive and thorough guides to UC Managed Migration is produced by Housingsystems.co.uk
www.housingsystems.co.uk/Portals/0/Docum...LhVH2EKY7ojz4A%3d%3d
Also there are some good case studies.
EXAMPLE: Val and Charles claimed UC in the same ‘benefit unit’ before the deadline given in their Migration Notice. They made their claims on 4th September so their ‘migration day’ is 3rd September. Their Total Legacy Amount and Indicative UC Amount will be calculated based on the information held about their circumstances on that day. During the finalisation of their Tax Credits, HMRC realise that the projected annual income being used to calculate their Tax Credits was too low due to an unreported pay increase Val had earlier in the tax year. There is no requirement to report in-year pay increases for Tax Credits so the correct information was used to calculate their Transitional Element (i.e., the information held by HMRC on their ‘migration day’) so it will not be recalculated. However, as normal, HMRC will finalise their Tax Credit award based on their actual income, and this could cause a Tax Credit overpayment that can be recovered from their UC awards.
David
One of the most comprehensive and thorough guides to UC Managed Migration is produced by Housingsystems.co.uk
www.housingsystems.co.uk/Portals/0/Docum...LhVH2EKY7ojz4A%3d%3d
Also there are some good case studies.
EXAMPLE: Val and Charles claimed UC in the same ‘benefit unit’ before the deadline given in their Migration Notice. They made their claims on 4th September so their ‘migration day’ is 3rd September. Their Total Legacy Amount and Indicative UC Amount will be calculated based on the information held about their circumstances on that day. During the finalisation of their Tax Credits, HMRC realise that the projected annual income being used to calculate their Tax Credits was too low due to an unreported pay increase Val had earlier in the tax year. There is no requirement to report in-year pay increases for Tax Credits so the correct information was used to calculate their Transitional Element (i.e., the information held by HMRC on their ‘migration day’) so it will not be recalculated. However, as normal, HMRC will finalise their Tax Credit award based on their actual income, and this could cause a Tax Credit overpayment that can be recovered from their UC awards.
David
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Last edit: 1 week 4 days ago by David.
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