Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, whether her Department has a policy of compensating claimants for emotional distress in cases where allegations of fraud, which have resulted in benefit claims being stopped, have proven to be false.

DWP has a discretionary special payment scheme. The policy and guiding principles can be viewed via this link: Compensation for poor service: staff guide - GOV.UK (www.gov.uk)

DWP can award consolatory payments to customers where DWP service failure has resulted in a serious impact on an individual’s well-being.

Where an allegation of fraud results in an individual’s benefits being suspended and subsequently reinstated following an investigation, DWP can consider additional financial redress, over and above any arrears that might be due, if DWP has:

• Maladministered the case in investigating the allegation and
• Disadvantaged the individual (caused an injustice or hardship) as a result of that maladministration.