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Liverpool Echo
Liverpool Echo
Business
David Bentley & Kate Lally

DWP Universal Credit claimants facing three-month payment delay

Some Universal Credit claimants can expect a three-month delay before they receive their payments.

The issue of delays has been raised amid the ongoing cost of living crunch which is set to get worse as we head into autumn and winter when the energy price cap soars again. The latest figures show currently claim on Universal Credit, a benefit that is gradually replacing six older "legacy" benefits, which include income-based Jobseeker's Allowance (JSA), and Housing Benefit.

Around 40% of those in receipt of Universal Credit are in employment, with the others either actively looking for a job, or too ill to work.

READ MORE: Some DWP claimants could be entitled to £1,500 compensation

People who are unable to move into employment because of a medical condition or disability can get an additional amount of Universal Credit if their health prevents them from working or preparing for work. In such cases, those who are deemed to have limited capability for work-related activity (LCWRA) get an extra £354.28 per month.

But they have to wait three months to get the full amount they are entitled to, which has caused concerns among claimants and also been raised by MPs, Birmingham Live reports.

Labour MP Darren Jones asked about the impact of this delay on people's financial wellbeing, and whether the Department for Work and Pensions (DWP) has taken a good look at this issue.

In a parliamentary answer, DWP minister David Rutley explained: "Where a claimant is determined to have limited capability for [LCWRA], an additional amount of Universal Credit may be awarded. However, before the additional amount is payable, the claimant must serve the 'relevant' period, a three-month term used to establish that they have a long-term health condition.

"This replicates the 13-week assessment period applied to Employment and Support Allowance (ESA) claims. This period starts on the day the Department first receives medical evidence or a self-certificate from the claimant.

"The reason that a three-month period applies to most claimants is one of equity. It would not be fair to pay some claimants [meaning those on UC] earlier than others [meaning those on ESA] because of circumstances beyond their control. There are exceptions for people who are terminally ill to ensure that they quickly receive the support they need as they have a short time to live or people who have previously claimed Universal Credit and have already served the relevant period and are returning to the benefit and whose circumstances meet certain specified criteria."

He admitted the DWP had not examined the financial impact of its policy. As it stands, anyone applying for Universal Credit who has a health condition or disability that affects their ability to work is asked to complete an assessment form and provide medical evidence.

They are then told if they need an appointment for a Work Capability Assessment. This is to see how much their illness or disability affects their ability to work.

The assessment can be in person, by video call, or on the phone. If you need an appointment, you are sent a letter telling you what you need to do. You can bring one adult from your household with you to a face-to-face appointment, and someone else such as a friend or support worker if it's done by phone or video call.

Until a decision can be made on your Work Capability Assessment, people either:

  • get the standard allowance of Universal Credit, if making a new claim
  • continue getting the same Universal Credit amount, if reporting a change of circumstances

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