DWP

[The Bookkeeper]

Hi, not sure if anyone can help but here goes. My uncle died in a nursing home having left his council house sometime earlier. My sister and myself spoke to our local authority to conclude his financial affairs, including payment of his funeral costs form the remaining estate. We were informed by DWP not to distribute the funds from the estate until they had concluded their investigations. We duly received a letter from the DWP on 31/3/11 stating they had concluded their enquiries and all assets were taken into account correctly. The estate was duly distributed to the beneficiaries (four of whom live in the USA).
My sister has now received a letter stating that the pension credit my uncle received was at the higher rate when in the nursing home and this was incorrect and they are requesting a repayment of £774.88. They suggest we recall the estate or contact them for the options to repay!
My question is:- Do they have a legal leg to stand on as they have already written stating their enquiries were complete and the matter concluded.
Any help would be greatly appreciated.

[Caspar]

Re: DWP

I thought (though I may be mistaken) that if the mistake was made by the DWP, then they were not allowed to reclaim any overpayment made now. This may just affect certain benefits though, so wait for a definite answer.

[The Bookkeeper]

Re: DWP

Thanks Caspar, that's what I think. Just wondering if anyone else has had a similar experience.

[Caspar]

Re: DWP

Just looked up the case, and it would seem it does not cover your situation. I do believe you should contact your MP as it is grossly insensitive at a time of bereavement to do something like this, and presumably we're not talking millions of pounds!

[calamity jane]

Re: DWP

Found the following.



http://www.parliament.uk/briefingpap...snsp-05856.pdf

The conditions that must usually be satisfied for an overpayment to be recoverable are that:
•
There was a misrepresentation, or failure to disclose, a material fact; and
•
The overpayment occurred as a result of that misrepresentation or failure to disclose; and
•
The original decision awarding benefit has been changed.

The misrepresentation or failure to disclose does not need to have been purposeful. For example, if someone did not report a source of income simply because they did not think it mattered, any resulting overpayment would still be recoverable. However, if the overpayment was the result of official error, where all relevant information was disclosed to the DWP in the appropriate manner and at the appropriate time, it would not be recoverable under these provisions.

If a decision to recover an overpayment is made, an individual has the right to ask for the written reasons, and the decision can be appealed in the usual way.
Section 71(4) of the Social Security Administration Act 1992 also allows the Secretary of State to recover overpayments which are “materially due” to the way in which the direct payment system for benefits operates.20 This might include, for example, where a claimant informs the DWP of a change in their circumstances reducing their award but the Department cannot adjust the payment in time because it is after the cut-off date for altering a payment via credit transfer, or because the system is not functioning properly. Another example would be where the system itself causes duplicate payments to be made.
If neither of the above sets of circumstances applies, then the overpayment cannot usually be recovered under social security law.


CJ

[Caspar]

Re: DWP

What a good link CJ - thank you. A VERY useful one to keep.

[The Bookkeeper]

Re: DWP

More developments! Been to see CAB who agree that this seems most unjust and DWP may be trying it on. They advised to reply to the DWP in stronger terms and if that failed then they would assist further. However, the local authority have now confirmed that they sent DWP all the relevant information and they will be suggesting that this amount is written off as DWP have been dragging their heels for so long.

[Jadkins]

Re: DWP

I used to do the overpayments years ago and unless the rules have changed then this is classed as an official error and therefore not recoverable. The DWP though still have to send a letter informing you of the overpayment and try and recoup the money. Just ignore any letters requesting repayment.