DWP update on ‘unfair’ benefit rules affecting thousands on Universal Credit after deductions found to be unlawful
DWP update on ‘unfair’ benefit rules affecting thousands on Universal Credit after deductions found to be unlawful
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THE Department for Work and Pensions has issued an update on a benefit rules that has been deemed unfair and unlawful. A judge ruled that deducting unpaid rent from tenants' Universal Credit payments automatically should not be allowed. The case was brought by Nathan Roberts, a law graduate, who found £500 missing from his Universal Credit after his landlord requested the Department for Work and Pensions (DWP) deduct rent and alleged arrears.
![[a woman is looking at a tablet that says universal credit on the screen]](https://www.thesun.co.uk/wp-content/uploads/2024/06/2bm7wb3-woman-applying-universal-credit-885722948_7253a5.jpg?strip=all&w=960)
Money can be deducted from a person's Universal Credit to help them meet any rent or debt repayments. The amounts are subtracted from a claimant's standard allowance each month until the debt is fully repaid. However, Roberts was already in a dispute with his landlord over repairs, and had an agreed move-out date.
He argued that the DWP should have consulted him before taking any money. Mr Justice Fordham, presiding over the case, deemed this process unfair and unlawful, highlighting the lack of tenant safeguards. He pointed out that the DWP's automated system allowed landlords to deduct up to 20% of a tenant's standard allowance without any checks with the tenant.
For example, if a claimant's standard allowance is £364.74 (as was the case with Nathan Roberts), the maximum deduction for rent arrears would be £72.95 per month. This meant the DWP only heard the landlord's side of the story, the judge said, potentially disadvantaging tenants, especially those withholding rent due to disrepair issues.
