UK energy suppliers can now request new or increases to existing deductions for Fuel Direct ongoing consumption payments after an announcement by the Department for Work and Pensions (DWP). However, requests must have the claimant’s consent first.
In addition, for new requests, suppliers must also get a claimant’s consent before the request can be sent to the DWP. However, there are some rules to consider. Daily Record reported that the DWP said in exceptional circumstances, when an energy supplier has exhausted all methods to contact a claimant, who has an existing arrangement, they can notify DWP. DWP will attempt to contact the claimant and advise them to contact the energy supplier. The process reportedly starts from this month.
If you owe money such as a court fine, rent, Council Tax or energy payments, money might be taken directly out of your benefits payments to pay the debt. This is sometimes called ‘third party deductions’ or, for gas and electricity payments, Fuel Direct.