Have the government done away with child tax credits?!?

[Pop24]

Had a nightmare day trying to apply for universal credit which has just replaced what would have been child tax credit in our area. We have savings of more than 16,000 (hard earned and saved house deposit!) but our household income is low. Am I right in thinking that child tax wasn't dependant on savings just income?? Yet You can't claim UC with savings of more than 16k. So, my query is, does this effectively mean ctc no longer exists? And how is that fair when people in some areas would still qualify for it? Are we really being penalised because we happen to live where we do when if we lived in the county next door we would still be able to claim child tax credits. So frustrated and confused. And advise much appreciated!

UC is based on net pay not gross, the student loan deductions would be made on gross pay.

Ok, so it seems that you will get transitional protection to keep your UC amount the same as your TC award would have been as long as none of the following apply:

-a partner leaves/joins your household
-your earnings drop beneath the level expected of you in your claimant commitment (for three months in a row)
-your Universal Credit award ends
-you or your partner stop work

They basically freeze your award at that level on the basis that either your earnings will increase or your UC entitlement will increase (say you have another child), etc., and then the transitional protection will go.

But the transitional protection is the last thing to go, apparently. So even if your UC award reduces to £0, you will only then lose the transitional amount at a rate of 65% in the £1 to 'incentivise work'.

Thank you so much for getting back to me! I had looked up the transitional protection, but you have clarified what I thought. I'm so rubbish at this kind of thing, I just panic . Fingers crossed I get a new job in the next year. I won't be eligible for anything but CB as the salary is about £7k more and at least I'll know where I stand and that I can only rely on my own earnings. Thank god I don't pay childcare anymore.

Just to say I read online that people will be transferred from tax credits between 2019 and 2022 and they aim to be done by then. But it all seems to be delayed and a bit of a muddle. So that is people already on tax credits, new claims like the OP may be from now depending on your area.