Universal Credit

(asked on 2nd July 2019) - View Source

Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, pursuant to the Answer of 24 June 2019 to Question 264329 on universal credit, of the 749,000 claimants with deductions from universal credit for non-universal credit debits, how many of those tax credit overpayments were repaid by each year to which those overpayments were made to those claimants.


Answered by
Alok Sharma Portrait
Alok Sharma
COP26 President (Cabinet Office)
This question was answered on 8th July 2019

Tax Credit overpayments were referred to the Department for Work and Pensions (DWP) Debt Management from 2016/17.

The table shows Tax Credit recoveries for 2018/19 apportioned across the financial year in which the Tax Credit overpayment ended*.

Tax Credit Overpayment Period End Date

Percentage of Recoveries by Value

Unknown

Less than 0.05%

2003-04

0.10%

2004-05

0.5%

2005-06

0.4%

2006-07

0.5%

2007-08

1.2%

2008-09

2.3%

2009-10

1.6%

2010-11

2.9%

2011-12

4.1%

2012-13

4.9%

2013-14

6.1%

2014-15

7.3%

2015-16

9.0%

2016-17

14.1%

2017-18

26.7%

2018-19

18.2%

Universal Credit (UC) is expected to lead to savings across welfare as we are able to adjust benefit entitlement in line with changing circumstances in real time. Internal and external data matches are increasingly helping inform benefit payments and alerting staff to check for any undeclared changes in people’s circumstances.

When recovering benefit overpayments, the DWP ensures that appropriate safeguards are in place to protect claimants from any undue financial hardship.

*The data provided in this response has been sourced from internal management information and was not intended for public release. It should therefore not be compared to any other, similar data subsequently released by the DWP. All figures have been rounded to one decimal place. Due to this rounding, the figures will not sum 100%.

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