A two-velocity fluid model is presented to describe particle migration in mono-disperse suspensions of neutrally buoyant particles. In contrast to previous migration models, the proposed formulation allows us to impose explicit boundary conditions on particle velocity, and thereby to satisfy strict mass conservation for the particle phase. In addition, the upper bound on particle volume fraction (jamming limit) is strictly enforced through a non-smooth complementarity condition and the introduction of a particle jamming pressure. The model is applied to an axisymmetric Poiseuille flow and solved using a finite-element method. For that purpose, a specific, fully implicit algorithm based on non-smooth optimisation tools is developed and validated. Preliminary comparisons with experimental data from the literature show promising agreement. In particular, the model properly captures the formation of an inner plug region, in which the suspension is saturated and jammed. • New particle migration model for suspension. • Strict mass conservation for each phase. • Two-velocity description. • Jamming via non-smooth complementarity condition.