August 2019 – SDP Transitional Payments & UC
The DWP has backtracked on earlier proposals to provide Severe Disability Premium (SDP) transitional payments to Universal Credit (UC) claimants formerly entitled to the premium only through housing benefit.
The DWP has confirmed the effect of changes to the final transitional payment rules compared to those proposed in draft regulations issued in January 2019 (which included provisions that enabled claimants who were entitled to an SDP only through housing benefit to qualify for payments), advising that HB only claimants will be excluded from SDP transitional payments as analysis has shown that housing benefit only claimants do not normally experience losses when moving to UC.
The small number of housing benefit only claimants who may lose out on moving to universal credit (usually due to their income or earnings), will be able to be considered for a discretionary housing payment (DHP) if they require support with their rental costs.
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