Thanks for the response Gary,
Just to clarify, I was NOT receiving PIP when the cap was applied to my benefits, and my PIP claim was still pending.
so I was advised to request a Discretionary Housing Payment (DHP), which was approved for a short period. Then, when my PIP claim was approved, the cap was lifted.
It seems that now, after 8 years, because I have migrated to UC, their system is confused by all of this and has flagged it as an overpayment when closing my claim. They are now asking for the DHP amount to be repaid, labeling it as "housing benefit overpayment due to the removal of the benefit cap," which is incorrect. I didn’t receive anything extra; the DHP was a relief payment.
The DHP was granted to cover the rent shortfall when I wasn’t receiving PIP, and the cap was still in place.
I want to know if I can challenge this if they proceed with deducting this from my UC payments. I don't want to request a full benefits review, but I would like them to explain the breakdown of this charge and why they are raising it after eight years.