DWP asking Universal Credit claimants to provide bank statements in undisclosed income review
The DWP is carrying out a major review of a number of Universal Credit claims, with thousands of people set to be affected
by Kieran Isgin · ChronicleLiveThe Department for Work and Pensions (DWP) has embarked on an extensive review of a multitude of Universal Credit claims, with the Labour Party urging claimants to submit financial details from multiple sources such as banks, credit houses, PayPal, and betting accounts. The review's main purpose is to discover any undisclosed income which could affect someone's right to Universal Credit benefits and to clamp down on any fraudulent financial behaviour.
In a statement, the DWP clarified: "Your Universal Credit claim might be reviewed to make sure you're getting the right payment and support. If your claim is going to be reviewed, the Department for Work and Pensions (DWP) will contact you and let you know through your online account."
They added: "You'll need to send DWP some documents to confirm your details and have a phone interview."
Claimants who are subject to this review will be notified and requested to furnish proof of identity alongside their bank statements through their online portals. Depending on individual circumstances and the complexity of their Universal Credit assertions, they may be required to offer further documentation relating to housing expenditures, earnings, other forms of income, or self-employment particulars, as per the reports by the Mirror.
Claimants may be required to provide additional documentation relating to savings, childcare expenses, children's health conditions, student grants, or caring responsibilities. This will be followed by a scheduled phone interview to discuss the specifics of their claim, reports the Manchester Evening News.
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The DWP has cautioned that failure to attend an interview could lead to payment suspension. The review might conclude that you're receiving too much or too little in your Universal Credit payment, as detailed in the DWP guide.
Some people may be notified that their Universal Credit needs adjustment. If this is the case, they'll receive a message in their online account.
This news comes amid the ongoing debate over whether the Labour party should abolish one of the Tories' most controversial DWP decisions - the two-child limit. Introduced in 2017, it restricts child tax credit and universal credit to the first two children in most families.
Many Labour supporters despise the policy and want it abolished. However, a recent report has somewhat challenged this perspective - questioning what impact it would truly have on the poorest households.
The Institute for Fiscal Studies (IFS) suggests that abolishing the limit would lift more than half a million out of absolute poverty. This would come at an eventual cost to the Government of £2.5 billion annually.
They caution, however, that this would "do nothing" for the poorest households still impacted by the existing benefit cap. They suggest that scrapping the two-child limit would be the most effective way to cut child poverty, but also warn it is "not a silver bullet".
The organisation has stated that removing both the two-child limit and the benefit cap could lift 620,000 children out of absolute poverty, though at an annual cost of over £3 billion. The IFS has pointed out that any gains from ditching the policy would be partly or completely offset for 70,000 of the poorest households.
These families would either find themselves newly affected by the benefit cap or see no change in their benefits as a result.
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