DWP sending text message 'warnings' to people on one type of benefit

DWP sending text message 'warnings' to people on one type of benefit

The update came from a parliamentary debate on Monday, October 7, which focused on Carer's Allowance overpayments and what the DWP was doing to tackle the problem.

by · Birmingham Live

The Department for Work and Pensions has issued a fresh update about new text message warnings to benefit claimants. The update came from a parliamentary debate on Monday, October 7, which focused on Carer's Allowance overpayments and what the DWP was doing to tackle the problem.

The government has announced an independent review into Carer's Allowance overpayments, after families were forced to pay back thousands of pounds which pushed many into debt and financial distress. Earlier this year it was revealed the government was seeking to recover money from more than 134,000 carers in the UK.

In Monday's debate, Labour's Work and Pensioners Minister, Sir Stephen Timms, said the department was reviewing ways to prevent the overpayments from happening. An idea that the DWP began to trial earlier this year was a text alert service. This would send a message to claimants who had surpassed the earnings limit.

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The update came in response to Labour MP for Shipley Anna Dixon, who asked what steps the DWP were taking to tackle the issue. Sir Stephen said: “The work of unpaid carers is absolutely vital and often heroic. We are determined to give unpaid carers the support they need. We are looking at the moment at options on tackling the problem with overpayments, including the possible introduction of a text alert service.”

Sir Stephen said the pilot scheme involved 3,500 claimants, and the message was sent when HMRC informed the DWP that the claimants had breached the limit. The DWP minister said the benefits department is now looking at the results and "if positive" than the pilot could be rolled out further.

He said: "We are currently looking at the results, and if they are positive, that will be the first step towards addressing the overpayment problem. We will need to do more, but it will be a good first step." He added: "There is a good deal of anxiety about these overpayment problems.

"We hope that the alert service will at least inform people when they run into a problem so that they do not then develop a large overpayment, which has happened all too often in the past, but we also need to look at the other arrangements relating to carer’s allowance in order to provide the reassurance."