DWP boss admits more carers will be chased for overpayments with 67,000 in debt

Department for Work and Pensions (DWP) minister Mel Stride faced a grilling from MPs today (May 22) over the continuing issues with a key benefit that provides support to more 1.3 million people. During a committee meeting, the DWP boss and top civil servant defended their record on Carer's Allowance, but admitted that the rules around earning were "complex".

Work and Pensions Committee Chair Stephen Timms revealed during his questioning that more than 1400 carers in the UK were chased for massive sums of more than £5000 last year. This reflects some of the worst tales of carers who have been chased through the courts and faced financial ruin, for a mistake they were never told about at the time.

Carers claiming the benefit are allowed to take up part-time work, but if they earn more than £151 per week, they are required by the DWP to let them know so that their payments can stop. However, even the DWP admitted that this threshold is "complex" and that carers are often unaware they have earned too much until months or years later.

READ MORE: Every UK household told to store tinned food and bottled water for 'emergency'

It also emerged that the DWP's latest figures for incorrect payments are that 5.2 per cent of claims need to be returned, which with 1.3 million Carer's Allowance claimants, means that the department is chasing more than 67,000 people to pay back their benefits.

Part of the confusion with the earnings threshold are around what can be counted as earnings, as well as what can be deducted to reach the £151 limit. According to the DWP bosses, some pension or National Insurance contributions can be counted against this limit, leaving it to "algorithms" to decide if someone is receiving too much money.

Mel