Woman showing man a calculator in a kitchen

£23 billion in unclaimed benefits 

Not knowing what we’re owed comes at a massive cost as shocking amounts of unclaimed benefits are revealed   

When the government wants money from us, they want it fast. But when we are owed money from the government, it seems our benefits are falling through the cracks. 

Where’s my money?

Policy in Practice has revealed that last year, £23 billion in benefits went unclaimed. Over half of that comes from DWP and HMRC benefits like Universal Credit, and Pension, Carers, and Child benefits. 

A big reason as to why people are missing out is due to the Universal Credit rollout. The National Audit Office (NAO) revealed one in five claimants did not switch to UC after their notice, meaning their legacy benefits have stopped. 

Three months to switch onto Universal Credit is not a lot of time, especially if we are not expecting our migration letters in the post. And can they blame us? 

People claiming income-related Employment and Support Allowance (ESA) were meant to have until 2028 before they needed to claim UC. But this month, the DWP announced that people claiming income-related Employment and Support Allowance (ESA) will receive notices later this year. 

Charity groups across the UK are concerned people are not receiving the information and support they need to make a successful transition. 

Missed opportunities 

People are struggling with the transition process and feeling unprepared.  Laura told Quids in!: “The letter was the first I’d heard…. I have been receiving Child Tax Credits for years, but never even considered myself to be a benefit claimant- I work and have a child, so saw the tax credits as just a top up to my wages.”

Like Laura, many are struggling with the process with tax credit claimants missing out on roughly £4,130 a year after failing to switch to UC in time. 

It is not just UC benefits people are missing out on. The Sun found almost 2.3 million people are missing out on an average of £1,513 a year in council tax support. Not to mention, over £3 billion worth of unclaimed benefits from social tariffs and energy support. 

To the rescue 

Recent data from the Quids in! Future Proof Finance Quiz revealed that 59% of people were not sure if they were receiving all the benefits they were entitled to. After accessing Quids in! support, this number decreased to 12% with most people feeling confident they were getting all the help entitled to them from the state.

In the last financial year, Quids in! money guidance service helped people gain a total of £121,417 in benefits. 

Check to see if we are missing out on the billions of unclaimed benefits by using our free and confidential benefits calculator. No need to sign up, just fill out a few simple questions in less than five minutes.

Image: Mikhail Nilov / Pexels

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.