There are currently 5.6 million people across the UK claiming Universal Credit from the Department for Work and Pensions (DWP) to help with daily living costs as a result of unemployment or a low-income. Official figures show that 189,000 households in Scotland had an average of £60 deducted from their social security payments in just one month this year.
There are several reasons why the DWP could deduct money from a claimant’s monthly payment. These include repaying a DWP loan such as an advance given to new claimants to cover the five-week waiting period before their first Universal Credit payment is made.
Other reasons include paying back an overpayment and repaying debt for energy bills, rent or Council Tax. However, during these challenging financial times brought about by the cost of living crisis fuelled by soaring inflation and rising energy bills, many people might not be aware they may be able to reduce the amount they repay each month.
