DWP to review hundreds of thousands of PIP claims for potential £5,000 back payments

A significant number of people receiving Personal Independence Payments (PIP) could be in line for backdated payments dating back to April 2016, due to a change in the assessment rules for the Daily Living component, specifically around the definition of 'social support'. The Department for Work and Pensions (DWP) has released new figures showing that 325,867 reviews are still to be carried out for claimants who may have been underpaid this disability benefit.

In July 2019, a Supreme Court ruling followed an Upper Tribunal (UT) decision that changed how the DWP interprets the term 'social support' for Daily Living activity number nine. This 'MM' judgment relates to the definition of 'social support' when interacting with others face-to-face and when 'prompting' should be considered 'social support' in the PIP assessment, as well as how far ahead social support can be provided.

The DWP expects to review 632,286 PIP cases throughout this year's correction exercise. As of March 31, it had already looked at 219,080 awards, resulting in a total of £142 million in arrears payments. The DWP has said it will contact 279,903 claimants who may have been affected by the assessment rule change. However, anyone who thinks they may have been impacted is also urged to get in touch with the DWP to request a review of their claim.

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The amount of arrears owed to each claimant isn't fixed, as it varies from case to case. However, last year's calculations showed that the average payout was around £5,200. Yet, users on a popular online benefits advice forum have reported receiving backdated PIP payments ranging from £3,000 to nearly £11,000, according to the Daily Record.

The independent Benefits and Work website has reported that its forum members have been notified by the DWP via phone calls and letters that they are due arrears payments. One individual who previously disclosed receiving £5,000 in early March after their review was completed and their award increased to the enhanced rate, said they had received an additional £5,500 from HM Revenue and Customs (HMRC).

This claimant told Benefits and Work that a DWP decision maker called them and "ran through a few questions" about their preparation for outings and support network during these activities. They shared: "She told me there and then that she was going to back date my claim to 2016 and increase it from standard to enhanced. I have just had just under £5,000 paid into my account today."

Following this, the member posted an update stating that after the DWP disbursed the funds, they contacted HMRC to inform them of the historical oversight as they had been working and claiming Tax Credits during that period.

After a revealing phone call, one member discovered they were due extra Working Tax Credit and subsequently received a £5,500 back payment. Sharing their story on the Benefits and Work forum, the individual expressed profound gratitude: "I have just received an additional £5.5k from them (HMRC) meaning in total I've had a back payment of £10.5k.This has changed my life in a way I can't even articulate, I've been able to buy a car for my family, pay off debt and can afford to live day to day without any fear of running out of money."

Expressing thanks to the online community, they added: "Thank you to this group and everyone in it, you'll never know how much you've helped flip my whole life around."

All those who could be affected by assessment rule changes.

Updates to assessment regulations could affect certain individuals' Personal Independence Payment (PIP) evaluations, specifically relating to the Daily Living component. The Department for Work and Pensions (DWP) is examining cases where claimants might have earned additional points for 'prompting' or 'social support' under Activity 9, potentially impacting their PIP amount.

Those who could be impacted include people who possibly missed out on the Daily Living part of PIP or were given the standard rate when they might qualify for the enhanced rate:

People who have regular meetings with a mental health professional, without which they would not be able to manage face to face encounters. People who need the input of particular friends or relatives with experience of supporting them in social situations - rather than just any well-meaning friend or relative - to help them manage face to face encounters.

Not all claims are up for review.

The DWP is not reviewing claims if:

• the enhanced rate of the daily living part of PIP has been awarded continuously since April 6, 2016

• a Tribunal made a decision on a claim since April 6, 2016

• a decision not to award PIP was made before April 6, 2016

How to make a claim.

For those who believe they may be affected, here's how to start a claim:Those wishing to challenge a decision on the review of their PIP claim under the MM judgment can request the DWP to reconsider the decision. This is referred to as a Mandatory Reconsideration (MR) and must be done prior to lodging an appeal with His Majesty's Courts and Tribunals Service (HMCTS).

Full details about challenging your PIP (and other benefit) decisions can be found on GOV. UK here.