Why moving from ESA to UC causes yearly reductions when rent is paid through UC

wecandothis
wecandothis Community Member Posts: 13 Contributor
edited August 23 in Benefits and income

Many people who moved from ESA + Housing Benefit to Universal Credit have seen their yearly income fall, even when nothing in their personal circumstances changed. The reason is simple:

Under ESA, your rent was protected.
Under UC, your rent is taken out of your living money.

How it worked under ESA

• Housing Benefit paid rent separately.
• Rent increases were absorbed by Housing Benefit.
• ESA stayed the same year after year.
• Your living money was shielded from rent changes.

How it works under UC

• UC gives you one combined award.
• Your rent is deducted from that award.
• If rent goes up, your living money goes down.
• Transitional protection shrinks each year until it disappears.
• The result is a yearly reduction in disposable income, even if your rent is fully paid.

Why this feels like a “pay cut”

Under ESA, rent rises didn’t touch your pocket.
Under UC, rent rises directly reduce what you have left to live on.

This isn’t mismanagement or a mistake - it’s a structural change in how support is calculated.

My rent increase this year is £60 this reduces my disposable income by £60. To adjust for this cut I'm skipping eating two days a week and eating one meal on the other five days.

Comments

  • Rachel_Scope
    Rachel_Scope Posts: 4,536 Online Community Team

    Hi @wecandothis. I'm so sorry that you're struggling. I'm concerned about you not eating enough. Have you checked that you're getting all the benefits that you're entitled to? You can use this calculator to check https://benefits-calculator.turn2us.org.uk/

    Have you looked at food banks near you? https://www.trussell.org.uk/emergency-food/find-a-foodbank

  • wecandothis
    wecandothis Community Member Posts: 13 Contributor

    Thanks, Rachel. No, I haven't I’ll do that, many thanks. That's very thoughtful.

  • Rachel_Scope
    Rachel_Scope Posts: 4,536 Online Community Team

    You're welcome. I'm still concerned about you not eating enough. Have you spoken to anyone about it? How is it affecting you?

  • wecandothis
    wecandothis Community Member Posts: 13 Contributor

    I'm not sure. I feel tired, woke up at 3pm thinking it was early morning. No real energy, but I put that down to fighting the last few years of getting the damp and mould sorted out and the living room water dried out caused by a leak from the flat above me.
    I have the ombudsman caseworker but they've a 6 month log jam.

    I've had to self advocate yet southern housing refuse to give me all of the SARs I've requested. Proving the upstairs leak was reported July 2016. Yet they're allowed to increase rent by £62.

    After my partner died I've taken on her dogs, Teddy doesn't eat much Teetoe eats for all dogs costing £200 pm.

    I'm unsure who to talk to GPs seem to be invisible. At 64 the bounce back factor is so bouncy.

  • Rachel_Scope
    Rachel_Scope Posts: 4,536 Online Community Team

    I’m so sorry about the mould and damp issues. It’s not surprising you’re feeling drained. I’m glad you have the ombudsman though and I hope they can help you soon.

    I would really encourage you to make an appointment with your GP. Could you call them tomorrow?

    I sent you an email yesterday, have you seen it?

  • wecandothis
    wecandothis Community Member Posts: 13 Contributor

    No, I didn't see the email. I've just searched spam etc.

    I've email my GP privately and phoned his answer to everything is Time To Talk I have included the medical centre , my MP, EHO, SH CEO, SH governance on all correspondence to SH regarding the damp, mould, etc, sent videos and am now on stage two of the complaints after their 5 extensions on stage one. It's taken 6 months and this is under Awaabs Law.

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