Underpayment of Benefits: Compensation

Lord Cormack Excerpts
Tuesday 18th January 2022

(2 years, 9 months ago)

Lords Chamber
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Baroness Stedman-Scott Portrait Baroness Stedman-Scott (Con)
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I really thought that I had confirmed the situation about Ms U. She has had an unreserved apology. We made a £7,500 compensation payment. We paid the benefit arrears of £19,832.55 and gave money for interest. I think that I have been very clear about that. On the issue of compensation to others, again, it is a discretionary scheme, but I re-emphasise that if anybody believes that they have a special case, they can make representation. I think that clears the way.

Lord Cormack Portrait Lord Cormack (Con)
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My Lords, should it not be axiomatic that where somebody suffers as a result of maladministration there is automatically compensation? This is not a criticism of my noble friend, who is the most kind-hearted of people, but we must have compensation if maladministration is the cause of suffering.

Baroness Stedman-Scott Portrait Baroness Stedman-Scott (Con)
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I thank my noble friend for that intervention. I have shared with the whole House the legal position on compensation when it is a LEAP scheme. The PHSO has let the department know what he thinks should happen. I have told noble Lords what the legal position is, and I know that the department needs to respond to the PHSO. When it does that, I am sure that the whole House will be made aware.