Report (6th Day)

Part of Welfare Reform Bill – in the House of Lords at 4:00 pm on 25 January 2012.

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Photo of Baroness Hollis of Heigham Baroness Hollis of Heigham Labour 4:00, 25 January 2012

My Lords, the Minister reminded the House that the current maximum weekly repayment for overpayments is some £10 a week. Will he assure the House that when a local decision-maker decides on the pattern of repayments that may be appropriate, one of the key factors to be taken into account is any other debts and debt repayments that that person may have? Under the old social security system the rule was that no more than 10 per cent of a benefit income should be top-sliced to repay debts for utilities, the Social Fund and the like. Can we have that assurance? Otherwise someone could find themselves trying to repay housing, fuel and pay check debts, and now overpayment debts. Each claim may seem reasonable, but the total may plunge the benefit recipient into total desperation.