Experts are warning that many people may be losing out on Department for Work and Pensions (DWP) payments they are entitled to receive. Benefits specialists have highlighted that the system can be challenging to navigate, with individuals failing to access the support they qualify for.
Complexity of the Benefits System
The team at debt assistance organisation Money Wellness has cautioned that people are struggling to understand the system and claim all the benefits they are eligible for, such as Personal Independence Payment (PIP). Rebecca Lamb, External Relations Manager, stated that the benefits system can be "difficult to navigate." She explained: "The real danger of this complexity is that some people disengage altogether. When the system feels difficult to navigate, some delay applying, give up halfway through, or don't apply at all because they assume they won't qualify."
Ms Lamb noted that this can result in "serious consequences" for those who miss out on payments. She said: "Missing out on benefits doesn't just mean less income. It can push people further into debt, make it harder to cover essentials like rent and energy bills, and increase stress at a time when support is needed most."
PIP Application Challenges
She highlighted two scenarios where people may encounter issues: Universal Credit and PIP. Regarding the PIP application process, she remarked: "The forms are long, the criteria can feel unclear, and the assessment process can be stressful, particularly for people already dealing with health challenges."
PIP provides assistance to help meet the additional costs of living with a long-term health condition or disability. Claimants receive different levels of payments based on how severely their condition impacts them. Being moved from a lower rate to a higher rate through the scheme could make a significant difference. The minimum weekly amount through the scheme is £30.30, while the maximum is £114.60, a gap of £122.60 per week, or £490.40 per four-week payment period.
When submitting an application, claimants may need to undergo an assessment to determine how severely their condition affects them. Ms Lamb also explained that complications can arise with Universal Credit, as payments can change. She noted: "Payments can go up or down each month depending on your income and household situation, which makes it hard to budget or feel in control. For anyone with irregular earnings, it can feel like a moving target."
Knock-On Effects of Missing Benefits
Ms Lamb warned of further consequences if individuals fail to claim certain benefits. She outlined: "Some benefits act as a gateway to other help, such as council tax reductions or additional cost-of-living support. Even one gateway benefit can be worth hundreds a year, and when combined, they can easily add up to an extra £1,000 to £3,000 in extra support. So if someone doesn't apply for one benefit, they could be missing out on several layers of support without even realising it."
She concluded: "Ultimately, while the system is designed to provide a safety net, its complexity can make it feel out of reach for some people. And that's when people lose out the most."
The DWP was asked for a comment. A DWP spokesperson said: "We offer support through free channels to ensure customers receive the benefits they’re entitled to. However, we recognise issues in the current system, which is why we have launched the first ever full review of PIP co-produced with disabled people and the organisations that represent them - to ensure it is fit and fair for the future. Universal Credit is designed to make work pay by supporting people into employment and enabling them to increase their earnings by withdrawing support at a steady rate - incentivising work and meaning customers are unlikely to be out of pocket."
