Question to the Department for Work and Pensions:
To ask Her Majesty's Government how many households had deductions from legacy benefits to repay debt due to previous overpayment for the most recent month available; and what was the average amount that was deducted for those households.
During May 2022, 170,000 individual claimants had deductions taken from their legacy benefits in order to repay overpaid benefits. The average deduction taken in that month was £61.
DWP has a duty to protect public funds and an obligation to ensure that overpaid benefit payments are recovered in accordance with the appropriate social security legislation. However, we seek to discharge that duty without causing undue financial hardship.
We therefore have an established route by which anyone experiencing difficulties with repayments is encouraged to contact DWP Debt Management in order to negotiate a possible reduction in their rate of repayment, or a temporary suspension of repayment, depending on financial circumstances.
In exceptional circumstances there is also discretion to waive recovery of an overpayment, but only were there are compelling grounds to show that recovery of the overpayment is detrimental to the health and/or welfare of the debtor or their family.