Guidance

How the transitional element is calculated when you move to Universal Credit

You might receive an additional payment to help you move to Universal Credit, if you receive a Migration Notice letter.

Applies to England, Scotland and Wales

If you’ve received a Migration Notice letter and have been told to move to Universal Credit, you should read transitional protection if you received a Migration Notice letter first.

What the transitional element is

An element is an additional payment on top of your standard allowance of Universal Credit. Additional payments are to cover the cost of things like caring for someone, having children, or moving from one benefit to another.

The transitional element is an additional payment that’s part of transitional protection. Transitional protection is available to you if you receive a Migration Notice letter and move to Universal Credit by your deadline date.

How we calculate the transitional element

Your Universal Credit entitlement is assessed every month, based on your current circumstances. This is known as an assessment period.

When a claim is made and verified, the transitional element is calculated using a Universal Credit amount that’s based on your known circumstances from the day before your claim. This amount is referred to as the ‘indicative Universal Credit award’.

At this point, the transitional element is the difference between the indicative Universal Credit award and your previous legacy benefit amount. It aims to protect your benefit entitlement at the point of moving to Universal Credit. 

The indicative Universal Credit award, including the transitional element, is an estimation based on your circumstances the day before you make your Universal Credit claim.

Applying the benefit cap

Universal Credit claims are affected by the benefit cap. The cap is also used in the calculation of the transitional element and applied to the indicative Universal Credit award. Some people, such as those of State Pension age, will not have their Universal Credit entitlement capped.

Find out more about when you’re not affected by the benefit cap.

Information we use to calculate the transitional element

The transitional element is calculated using information you give us in your Universal Credit claim and your existing legacy benefits information.

The claim covers details about your circumstances, which includes:

  • your employment status
  • who you live with
  • your household income, savings and investments
  • if you have children and any childcare costs
  • if anyone in your household has a disability or health condition
  • if you’re a carer
  • the benefits you get now

This information is checked against existing data from:

  • Department for Work and Pensions (DWP) benefit systems: Income Support, income-based Jobseeker’s Allowance, income-related Employment and Support Allowance
  • local councils: Housing Benefit
  • HM Revenue and Customs (HMRC): Child Tax Credit and Working Tax Credit

If you’re a carer

If you declare yourself as a carer on your Universal Credit claim, even if you do not get Carer’s Allowance, your indicative Universal Credit award will include an additional payment. This is known as the carer element.

If you’re in a couple

If you live with a partner, their details will also be used to calculate the transitional element. This is because Universal Credit is a household benefit, so you’ll need to make a joint claim with your partner. 

We’ll collect the same information about your partner’s circumstances, which is taken from their Universal Credit claim. If your partner is claiming any benefits, this will also be checked against existing data. 

If you do not live with your partner

If you and your partner live apart and claim tax credits as a couple, you’ll be treated as 2 separate households on Universal Credit. In these circumstances, you and your partner would not be eligible for the transitional element. Because you received a Migration Notice, you’ll still be entitled to the different eligibility rules.

If you’re responsible for a child

You could get an extra amount, the ‘child element’, for your children if they live with you. You would get the child element until the 31 August after their:

  • 16th birthday
  • 19th birthday, if they’re in full-time, non-advanced education or training – for example, they’re studying for GCSEs, A levels, BTECs, Scottish Highers and SVQs, or NVQs up to level 3

If you currently receive Child Tax Credits but your child is not eligible for the child element of Universal Credit, the transitional element will not cover that difference in entitlement.

Moving from the old types of Employment and Support Allowance (ESA)

There are 2 old types of ESA

  • income-related ESA which is means tested 

  • contribution-based ESA that is not means tested  

If you or your partner get income-related ESA, this will be included in the calculation of the transitional element. This is because Universal Credit is also calculated based on your income. 

If you were also getting a contribution-based ESA, as well as, or as part of, your income-related ESA claim, you will start to get New Style ESA instead. You do not need to do anything to start getting New Style ESA. The New Style ESA part of your claim will be transferred automatically. 

The amount you get from New Style ESA will be deducted from your Universal Credit amount.

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.  

If you’re eligible for housing costs

If you were not previously getting Housing Benefit, the transitional element (and indicative Universal Credit award) is calculated without a housing element. 

However, housing costs may be included from your first assessment period if a housing need is identified in your Universal Credit claim. This is not a change of circumstances, so will not cause the transitional element to decrease.  Find out more about transitional protection payments.

Support

Universal Credit Migration Notice Helpline  

Monday to Friday, 8am to 6pm  

Phone: 0800 169 0328   

0800 phone numbers are free to call from mobiles and landlines.

If you cannot speak or hear on the phone

Use our Relay UK service to make a free, text-supported call to the Universal Credit Migration Notice Helpline. Dial 18001 followed by 0800 169 0328. 

If you use British Sign Language (BSL)

Use our video relay service to make a BSL interpreted call to the Migration Notice Helpline.

If you’re on a computer, visit the video relay service.

  1. select Company to contact: ‘DWP (DA Languages)’
  2. select Department: ‘Universal Credit - if you have a Migration Notice letter’.

If you’re on a mobile or tablet, use the InterpretersLive! app.

From the app:

  1. select ‘Directory’, search for ‘Universal Credit’
  2. select ‘Universal Credit - I have a Migration Notice letter’
  3. select ‘Call Now’, select Company to contact: ‘DWP (DA Languages)’
  4. select Department: ‘Universal Credit - if you have a Migration Notice letter’
  5. select ‘Connect Now’.

If you need help, view a YouTube video.

Help to Claim

If you need help to make your claim you can get free support from the Citizens Advice Help to Claim service:

Other financial help and support 

If you get Universal Credit, you could be eligible for other benefits or financial support. You should check what you can get

You might be able to get different support in Scotland.

If you’re in financial difficulties, you can get help and advice from the government, local councils, and other organisations, such as advicelocal.uk.

Updates to this page

Published 25 September 2024
Last updated 21 October 2024 + show all updates
  1. Added details of the Migration Notice Helpline video relay service for British Sign Language users.

  2. Clarified how the transitional element is calculated for claimants who are moving from Employment and Support Allowance (ESA).

  3. Added translation

  4. Removed section on SDP (Severe Disability Premium) as we look at the total amount of claimants’ legacy benefit award when working out their Universal Credit and transitional element. And clarified guidance on the Universal Credit ‘child element’, Child Tax Credit and the transitional element, for those responsible for a child.

  5. First published.

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