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Liverpool Echo
Liverpool Echo
Business
Kate Lally

DWP could owe thousands of benefit claimants around £3,000 each

The Department for Work and Pensions (DWP) could owe money to thousands of claimants who were moved from their original disability benefits to Universal Credit.

After a conclusive ruling from the Court of Appeal two severely disabled men known as TP and AR have called on the DWP to compensate up to 50,000 benefits claimants who were stripped of benefits worth thousands of pounds.

The pair made the call after the DWP’s bid to appeal against a High Court ruling of January 2022 was refused.

READ MORE: Millions on DWP benefits to miss out on Cost of Living payments

Disability Rights UK reports the court found the DWP had discriminated against the men when it didn’t compensate them the full £180 a month difference in the amount of money they received on legacy benefits and the amount they were paid in Universal Credit after they moved into an area where the new benefit had already been rolled out.

Prior to moving, the men had each received the severe disability premium (SDP) and enhanced disability premium (EDP). After TP and AR waged a long campaign in the courts, the DWP decided to make up for the loss of SDP but not EDP, leaving them out of pocket by £60 a month, each.

TP and AR have now written to Government lawyers to ask the DWP to address the issue without delay, arguing that the DWP must act to compensate up to 50,000 people affected.

It is understood this would involve sums of up to £150 million, or £3,000 per claimant on average to put right, as many affected lost out on around £60 per month for several years.

Claimant AR said: “TP and I have had to fight for justice for 5 years and go to court four times. It is high time the DWP finally gets this right.

“The policy has caused me and others serious hardship and now that the DWP has been refused permission to appeal last year’s court ruling, we expect them to pay us back the money we have lost and fix what they have been told repeatedly is discriminatory.”

A DWP spokesperson said: “The government is aware of the recent court of appeal decision in relation to the judgment [...] we will now consider the options available to us.

“We will continue to make transitional severe disability premium payments to those who are eligible.”

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