Benefit Overpayments Covid-19 2020-10-19
2020-10-19
TAGS
Response quality
Questions & Answers
Q1
Partial Answer
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Context
The question arises from the suspension of benefit deductions for universal credit and legacy benefits overpayments due to the pandemic. The policy's impact on vulnerable individuals is a concern.
If she will extend the suspension of benefit deductions for the recovery of universal credit and legacy benefit overpayments during the covid-19 outbreak. These suspensions have provided a lifeline to many vulnerable people over the last six months. Unfortunately, there is at present no reason to believe that we will be in a better position in April 2021 than we were in April 1020.
There are currently no plans to extend the suspension of benefit deductions. Action to restart deductions commenced on 6 July and should be completed by mid-November. We recognise that there will be some people who may be experiencing financial difficulty, and anyone unable to afford the rate of recovery proposed is encouraged to contact the Department. In May, we will be launching the breathing space scheme to help to prevent problem debt and provide support to people who fall into that problem debt.
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Assessment & feedback
Extending suspension of benefit deductions
We Continue To Apply A Flexible Approach
Anyone Unable To Afford The Rate Can Negotiate
Response accuracy
Q2
Partial Answer
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Context
The previous question raised concerns about restarting benefit deduction suspensions and the potential financial hardship this could cause.
Unfortunately, there is at present no reason to believe that we will be in a better position in April 2021 than we were in April 2020. Thus I urge my hon Friend to consider extending the suspensions and working with local authorities to put in place fair local support arrangements that will operate in conjunction with the national welfare system and complement the Chancellor's initiatives to get people back to work.
It is right that those claimants who owe the Department money are able to resume payments to reduce their debt. We continue to apply a flexible approach to recovery and endeavour to recover without causing undue financial hardship. Anyone unable to afford the rate of recovery proposed is encouraged to contact the Department so that an affordable rate of repayment can be negotiated.
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Assessment & feedback
Extending suspension of benefit deductions
We Continue To Apply A Flexible Approach
Anyone Unable To Afford The Rate Can Negotiate
Response accuracy