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Action Plan

Being made redundant can feel stressful and frightening but here are a few simple steps you can follow.

  • Check your redundancy rights to make sure your employer actually can make you redundant and to check whether all your rights are being respected.
  • Check your benefit entitlement to get some income coming in while you're out of work. Means-tested benefits are related to how much income and savings you have and Contributory benefits are related to your national insurance contributions over the past couple of years. You can get contributory and means-tested benefits at the same time.
  • Get on top of your budget - there are lots of ways to save money on your bills.
  • Deal with any problem debts - debts you have been managing while you had income from work can become a problem after redundancy. Get free, confidential, non-judgemental advice to help you deal with them.
  • Do a grants search - there are lots of charities in the UK that give grants to people experiencing loss of income. 

Redundancy Questions

Will I get sanctioned if I am made redundant?

If you are considered to have lost your job without a good reason, you can be sanctioned at the beginning of a benefit claim. This means you won’t receive your full benefit entitlement for as long as the sanction lasts.

You shouldn’t be sanctioned for being made redundant.

You also shouldn’t be sanctioned for taking voluntary redundancy, provided your company is going through a redundancy process.

Will my redundancy pay affect my benefit entitlement?

Your redundancy payment won’t be treated as income when working out how much benefits you can get. It will be treated as capital. This means that the amount you get in redundancy payment will be added to any other savings you have.

If you have savings of more than £6,000, it will affect how much Universal Credit you can get.

The best way to check how this will affect your benefits is to use our Benefits Calculator.

If you have savings of over £16,000, you won’t be able to get Universal Credit.

It won’t affect how much New Style Jobseeker's Allowance (JSA) you can get.

If you get pay in lieu of notice or holiday pay, this will affect how much Universal Credit you can get.

The best way to check how this will affect your benefits is to use our Benefits Calculator (link above).

Charitable Grants

To find out what help may be available to you from grant-giving charities, you can use our Grants Search.

Advice and support

Turn2us is unable to offer advice on individual situations. To find an adviser in your area to discuss your situation with you can use our Find an Adviser.

Useful resources

Acas: Your Rights During Redundancy 

Gov.UK: The Skills Toolkit - courses to help you retrain.

Gov.UK: Job help - website focused on sectors where there are currently jobs available.

Mind: Coping with redundancy - redundancy can be stressful and upsetting. Get tips on taking care of your mental health.

Search for Grants

Search for a grant

Look for funds that might be able to give you a grant and/or other types of help.

Use the Grants Search tool

Worried about being evicted?

Find out where to get more information and advice.

Find out more about evictions