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Universal Credit: Overpayments

Asked by Dr Al PinkertonLiberal DemocratDepartment for Work and PensionsTabled Answered 20 October 2025UIN 80626

The question

To ask the Secretary of State for Work and Pensions, what steps his Department is taking to support Universal Credit claimants to repay overpayments resulting from administrative errors in Surrey Heath constituency.

Answered by Andrew Western

DWP strives to set affordable, and sustainable repayment plans and encourages customers to make contact if they are unable to afford the proposed repayment rate. In most cases, deductions from the UC standard allowance are capped at 15%.

When a customer makes contact due to financial hardship, the repayment rate may be reduced or, depending on the customer’s financial circumstances, a temporary suspension of repayment can be agreed. Where an individual considers that recovery is not appropriate given their circumstances, they should contact the Department. A request for a waiver can be made and we will consider a number of factors included in the department’s Benefit Overpayment Recovery Guide in line with HM Treasury’s Managing Public Money guidance.

Independent financial advice is also available from organisations such as National Debtline Free Debt Advice and Support | National Debtline and MoneyHelper https://www.moneyhelper.org.uk

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