DWP to pay £5,000 compensation to 57,000 benefit claimants after court ruling

DWP to pay £5,000 compensation to 57,000 benefit claimants after court ruling
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DWP to pay £5,000 compensation to 57,000 benefit claimants after court ruling
Author: Nuray Bulbul
Published: Feb, 14 2025 14:10

Summary at a Glance

It includes people who continue to receive Universal Credit but are owed additional transitional SDP elements from 2020 onwards, people due an additional amount for the period between 2018 and 2020, and who continue to receive the benefit, and people due an additional amount relating from 2018 onwards who are no longer on Universal Credit.

It ruled that the Government had failed claimants, who were found to have lost “severe disability premiums” (SDP) in the move, with the DWP not doing enough to ensure their incomes were protected.

Following a court decision, the Department for Work and Pensions (DWP) has confirmed that 57,000 benefit claimants will receive payouts totalling up to £5,000.

Many people who were receiving specific disability benefits and switched from “legacy benefits” to Universal Credit in recent years will receive the payments.

According to Leith Day, the DWP has committed to establishing a legal compensation plan by August 2025 in order to reimburse claimants.

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