Universal Credit: Overpayments

(asked on 30th June 2022) - View Source

Question to the Department for Work and Pensions:

To ask Her Majesty's Government in what circumstances they waive the recovery of overpayments of Universal Credit due to no fault of the claimant.

This question was answered on 14th July 2022

The Department is not able to specifically match the official error cases to debt recovery figures. However, all overpayments of UC are recoverable, irrespective of how the overpayment arose.

The Department did not record waiver requests by overpayment classification prior to February 2021. From February to the end of the 2021, DWP Debt Management received a total of 96 waiver requests in relation to UC overpayments with a classification of official error, 9 of which were agreed.

Waivers are only granted in exceptional circumstances, usually where the recovery of the overpayment is causing substantial medical and/or financial hardship, and it can be clearly demonstrated that the debtor’s circumstances will only improve by waiver of the debt.

However, any claimants struggling with the proposed rate of deductions are encouraged to contact DWP Debt Management to discuss affordability, so that a lower repayment rate can be negotiated as appropriate.

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