Department for Work and Pensions written question – answered at on 24 April 2018.
To ask the Secretary of State for Work and Pensions, whether the repayment of advances is included in the 40 per cent cap on what can be deducted from universal credit claimants’ monthly awards.
To ask the Secretary of State for Work and Pensions, whether there is a requirement on the part of decision-makers to take into account a claimant's wider financial situation when deductions and recoveries are taken from universal credit claimants in part 4 of their monthly award letter.
To ask the Secretary of State for Work and Pensions, what (a) evidence is required to be produced by decision-makers and (b) claimant consent is required in determining that it is in a universal credit claimant’s best interest that more than 40 per cent of a claimants' standard allowance should be taken in repayments.
To ask the Secretary of State for Work and Pensions, what discretion is available to decision-maker if a claimant of universal credit reports that (a) deductions and (b) recoveries are causing financial detriment.
Universal Credit provides an unprecedented level of personalised support. People receive tailored support, based on their individual requirements, including financial support.
Repayment of Universal Credit advances are included in the 40% cap on deductions that can be made from a claimant’s award. The maximum rate of deduction for an advance cannot exceed 40% of the claimant’s standard allowance.
These deductions are taken when it is in the best interest of the claimant. In determining this, the Decision Maker will take into account the claimant’s circumstances.
To protect vulnerable claimants from being made homeless or having their fuel disconnected, deductions in excess of the 40% of the claimant’s standard allowance can be taken in some circumstances. This is only for ‘last resort’ deductions , such as for arrears of service charges, rent, gas and electricity and on-going monthly costs of gas and electricity.
If a claimant is in financial difficulty as a result of the level of deductions, where it relates to benefit debt, a social fund loan or rent arrears, they can request that a reduction be considered.
If a claimant is having difficulty repaying a benefit overpayment they can request a reconsideration of the amount that is being taken. Any reduction will be based on the individual circumstances of the claimant rather than the amount of the overpayment, which helps to ensure that a sustainable repayment plan based on affordability is put in place.
Yes1 person thinks so
No0 people think not
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