Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, how many and what proportion of universal credit claimants had deductions made to their monthly payment in the most recent month for which figures are available by (a) advance payments, (b) benefit overpayments, (c) categories of third party debt deductions and (d) other types of deductions.

The Government recognises the importance of supporting the welfare of claimants who have incurred debt. We seek to balance recovery of debt and advance payment against not causing hardship for claimants and their families. Processes are in place to ensure deductions are manageable, and customers can contact DWP Debt Management if they are experiencing financial hardship, to discuss a reduction in their rate of repayment or a temporary suspension, depending on their financial circumstances.

In April 2021, we reduced the normal maximum rate of deductions in Universal Credit from 40% to 25% of a claimant’s Standard Allowance enabling them to retain more of the award. These positive measures were put in place to support claimants to manage financial difficulties.

Advances are a claimant’s benefit entitlement paid early, allowing claimants to access 100% of their estimated Universal Credit payment upfront. They are not a debt. They ensure nobody has to wait for a payment in Universal Credit and those who need it are able to receive financial support as soon as possible. Claimants can receive up to 100% of their estimated Universal Credit award if required, resulting in 25 payments over a 24-month period.

The requested information is provided in the attached spreadsheet.