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Chronicle Live
Business
Catherine Furze

Warning as thousands of DWP Universal Credit claimants are receiving 'phantom' payments

Thousands of workers who claim Universal Credit are being hit by 'phantom' payments which leave them out of pocket - or land them with overpayments to be repaid further down the line.

Around four in 10 of the 5.8m people who claim the Government benefit are working, with Universal Credit topping up their wages. Employers must send information to HM Revenue and Customs (HMRC) every time they pay a worker on Universal Credit, whether it's weekly, monthly or casual work. This information is then used by the Department of Work and Pensions (DWP) to determine how much Universal Credit to pay the worker.

However, if your employer or HMRC receives incorrect information, this could result in you receiving less or more Universal Credit than you are entitled to. If you get paid more than you should, you’ll have to pay it back, which can leave you out of pocket later, according to The Sun.

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