The Department for Work and Pensions (DWP) has confirmed that 57,000 benefit claimants will receive compensation payments of up to £5,000 following a series of court rulings that deemed past deductions from their benefits to be unlawful.
The payments come after legal battles between 2018 and 2019, culminating in an unsuccessful appeal by the DWP at the Court of Appeal in 2020.
Who Will Receive Compensation?
The compensation applies to claimants who lost their Severe Disability Premium (SDP) and Enhanced Disability Premium (EDP) when transitioning from legacy benefits to Universal Credit.
The DWP aims to complete all payments by August 2025.
DWP’s Response
Speaking to the Work and Pensions Committee, Neil Couling stated:
“The courts have decided on all of these, and we are now moving to implement the various judgments of the courts in those cases.”
“Because the courts decided that the transitional protection we were providing was not large enough, it needed to cover other elements.”
Next Steps
Anyone who believes they may be eligible for compensation is advised to check their records and contact the DWP for further details.
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This landmark ruling could pave the way for further challenges against Universal Credit deductions, as campaigners continue to advocate for greater support for disabled benefit claimants.
