The Department for Work and Pensions has confirmed that Universal Credit overpayments, including those caused by incorrect helpline advice, must be recovered wherever possible. DWP minister of state Sir Stephen Timms set out the position in response to a parliamentary question from Lib Dem MP Tom Gordon.
Helpline advice on compensation disregards
The Universal Credit helpline, which handles queries from millions of claimants, sometimes gives advice on how compensation awards affect benefit calculations. Certain payments, known as capital disregards, are not counted when assessing a claim. These include miscarriage of justice compensation, approved government compensation schemes, the infected blood scheme, Grenfell Tower court settlements, the Windrush Compensation Scheme and payments from the National Emergencies Trust.
Tom Gordon, MP for Harrogate and Knaresborough, asked what steps the department takes to ensure helpline advice on these disregards is accurate, and whether it would waive overpayments where a claimant relied on incorrect advice.
Recovery of overpayments
In a response dated October 23, Sir Stephen Timms did not confirm that overpayments resulting from helpline errors would be waived. Instead, he said the department supports helpline staff through operational guidance, learning products and regular policy updates to help ensure advice is accurate and consistent.
He added: “Universal Credit overpayments are recoverable, including those arising from official error. The Department has an obligation to protect public funds and to ensure that, wherever possible, overpayment and penalty debt is recovered.”
Rules on repaying benefits
Government guidance states that claimants may have to repay money if they have been overpaid, including where a mistake was made with their payment. Repayment may also be required if incorrect information was provided, or if a change of circumstances was not reported promptly.
Decisions can be challenged through a mandatory reconsideration. Further information is available from Citizens Advice and the gov.uk website. The Universal Credit helpline operates Monday to Friday, 8am to 6pm, on 0800 328 5644, with Relay UK, Welsh language and British Sign Language services also available.
