Universal Credit claimants warned DWP is 'deducting' money from them

Millions of Universal Credit claimants have been warned the Department for Work and Pensions ( DWP ) could be deducting money. Universal Credit claimants are losing £1 in every £13 of their basic payment with each household losing an average of £63 a month.

It works out to a total loss of £1.3 billion from benefits support in the 2022-23 fiscal year. Responding to the reports, one Facebook user said: "They should all pay off their debts as its the tax payers money should not be wasted."

A second sniped: "They should be forced to pay off their debts, she wants a warm home, well we grew up in freezing homes with no heating and never harmed us so won't harm them." A third said: "I agree they know what the deductions are as they must agree or deductions can't start."

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Deductions are applied for various forms of debt accrued before and during the time someone receives UC, and more than one type of debt can be recovered at the same time. New Economics Foundation, the NEF, said: "These cuts should not be happening in the first place. They will place greater strain on local government and the families pushed into debt because of the inadequacy of the social security system.

"Attempts to reduce debt today should not create further hardship in the future. That is why we are collaborating with the Runnymede Trust and local organisations on the Power to Prosper campaign. The campaign is made up of a coalition of partners working with the communities most harmed by household debt: people of colour, households with disabled people, and single parents."

It added: "The social security system in its current threadbare form is already unable to prevent people from being pushed into poverty. Debt deductions undermine it further, intensifying the hardship that struggling families experience."