- Posts: 40
× Members
ESA overpayment
- sugaplum
- Topic Author
- Offline
Less More
3 years 7 months ago #263861 by sugaplum
ESA overpayment was created by sugaplum
Having claimed new style ESA for first time during Covid May 2020 and completed forms and placed into support group - now a bill for more than £1,000! Oh God. My husband declared his small works pension at the onset. Was contacted via fraud squad in April. Telephone interview April 2021, the lady agreed that yes he had declared works pension and together filled out a statement on a MF47 form. On the statement she worded ''I am not willing to repay any overpayment and I am not willing to pay any Civil Penalty, as I informed the department about this pension''. Since that date his ESA was reduced. Their error. I am now asking them to look at this again - Mandatory Reconsideration. Dont suppose he will have any chance of this being dropped? Any advice welcome. Thanks
Please Log in or Create an account to join the conversation.
- LL26
- Offline
Less More
- Posts: 1480
3 years 7 months ago #263893 by LL26
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by LL26 on topic ESA overpayment
Hi sickasachip,
Do I presume correctly that when you say you claimed new style ESA you mean contribution based ESA, or do you mean the means tested benefit that used to be called ESA, but is now Universal Credit?
If you mean a contribution based version, then occupational pensions up to £85 per week are ignored. Over that, then your ESA is reduced by half of the amount over the £85 limit. (So if the pension is £105, that is £20 more than the limit, and hence a reduction of £10 needs to come off the ESA.)
If the ESA is via UC, then the ESA will be deducted £1 for £1 of the amount of the pension. (£40 pension = £40 deduction)
Under UC the legislation provides that all overpayments (however caused) can be clawed back by DWP. This would normally be done by a deduction in the current benefit amount.
For previous versions of ESA if there was official error (ie DWP fault) it was possible to argue that the overpaid benefit was not recoverable.
the Fraud department always seem to get involved in overpayment cases, and my experience of them is that they always assume fraud has occurred, and that taints any investigation they do. As you may be aware, a civil penalty of £50 can be imposed if DWP feel that you have been negligent/not given correct information/failed to act quickly to stop an overpayment growing.
So depending on the type of ESA, the overpayment may be recoverable. If under UC, there is no right of appeal as to recoverability. I would however suggest that you scrutinise the figures carefully. Get a full breakdown from DWP if you've not had this. Insist!!!
(You can appeal the amount to be recovered!) Also if there is any possibility that you were owed more benefit , or perhaps a different one which wasn't paid, then this could offset the overpayment and reduce it too.)
DWP still have a right to waive the overpayment, if repaying it would comprise serious hardship, or be very injurious to health. You would need to have strong evidence of either scenario - you would need to write in with the evidence.
Failing that you may wish to make a complaint to DWP about its maladministration, and ask for compensation. Not sure how successful waiving/complaining will be but nothing ventured, nothing gained. You may also wish to get all the figures etc checked by a qualified benefits advisor.
I hope this helps.
LL26
Do I presume correctly that when you say you claimed new style ESA you mean contribution based ESA, or do you mean the means tested benefit that used to be called ESA, but is now Universal Credit?
If you mean a contribution based version, then occupational pensions up to £85 per week are ignored. Over that, then your ESA is reduced by half of the amount over the £85 limit. (So if the pension is £105, that is £20 more than the limit, and hence a reduction of £10 needs to come off the ESA.)
If the ESA is via UC, then the ESA will be deducted £1 for £1 of the amount of the pension. (£40 pension = £40 deduction)
Under UC the legislation provides that all overpayments (however caused) can be clawed back by DWP. This would normally be done by a deduction in the current benefit amount.
For previous versions of ESA if there was official error (ie DWP fault) it was possible to argue that the overpaid benefit was not recoverable.
the Fraud department always seem to get involved in overpayment cases, and my experience of them is that they always assume fraud has occurred, and that taints any investigation they do. As you may be aware, a civil penalty of £50 can be imposed if DWP feel that you have been negligent/not given correct information/failed to act quickly to stop an overpayment growing.
So depending on the type of ESA, the overpayment may be recoverable. If under UC, there is no right of appeal as to recoverability. I would however suggest that you scrutinise the figures carefully. Get a full breakdown from DWP if you've not had this. Insist!!!
(You can appeal the amount to be recovered!) Also if there is any possibility that you were owed more benefit , or perhaps a different one which wasn't paid, then this could offset the overpayment and reduce it too.)
DWP still have a right to waive the overpayment, if repaying it would comprise serious hardship, or be very injurious to health. You would need to have strong evidence of either scenario - you would need to write in with the evidence.
Failing that you may wish to make a complaint to DWP about its maladministration, and ask for compensation. Not sure how successful waiving/complaining will be but nothing ventured, nothing gained. You may also wish to get all the figures etc checked by a qualified benefits advisor.
I hope this helps.
LL26
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Please Log in or Create an account to join the conversation.
- ANGELA
- Offline
Less More
- Posts: 395
3 years 7 months ago #263921 by ANGELA
Replied by ANGELA on topic ESA overpayment
Hi. with any ‘new style’ benefit they can legally recover payments even if it is they that are in the wrong… I would just argue and see how you go x
The following user(s) said Thank You: Gary
Please Log in or Create an account to join the conversation.
- sugaplum
- Topic Author
- Offline
Less More
- Posts: 40
3 years 6 months ago #264198 by sugaplum
Replied by sugaplum on topic ESA overpayment
Many thanks for full explanation.
Sorry I should have said 'contributionary ESA'.
Sorry I should have said 'contributionary ESA'.
Please Log in or Create an account to join the conversation.
- sugaplum
- Topic Author
- Offline
Less More
- Posts: 40
3 years 6 months ago #264199 by sugaplum
Replied by sugaplum on topic ESA overpayment
Thanks Gary.
I will post if and when we hear from them next as to the outcome.
I will post if and when we hear from them next as to the outcome.
The following user(s) said Thank You: Gary
Please Log in or Create an account to join the conversation.
Moderators: Gordon, Gary, BIS, Catherine, Wendy, Kelly, greekqueen, peter, Katherine, Super User, Chris, David