Thousands on Universal Credit could get pay out of up £3,000 after DWP loses legal challenge

THOUSANDS of Brits on Universal Credit claimants could be eligible for a refund, following a legal ruling.

Two severely disabled men, known as TP and AR, won their court challenge with the Department of Work and Pension over a loss of income when they switched to Universal Credit.

The pair suffered a sudden drop in income when they were moved off legacy benefits and onto Universal Credit in 2016 and 2017.

They were not compensated for the £180 a month loss when they moved to areas where the new welfare system had been rolled out.

Previously they had each received Severe Disability Premium and Enhanced Disability Premium.

Law firm Leigh Day, which represented the two claimants, said the DWP agreed to pay them £120 a month – not the full £180 shortfall.

They also claim that around 50,000 people have been affected by similar issues, and around £150,000 a year could be owed.

That means around £3,000 each could be owed, but the amount will vary depending on claimants' personal circumstances.

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In May 2019, the High Court ruled that the benefit cuts for disabled claimants was unlawful for those moved onto Universal Credit before January 16, 2019.

As of January 2020, the DWP had manually paid out over £51.5million to 15,000 people who lost out.

The monthly refunds are now added to Universal Credit claimants' regular monthly pay out.

How much you get depends on whether you're claiming as a single person or a couple, and whether you were expected to look for work.

The top-ups are worth £120, £285 or £405 a month, depending on your circumstances.

The Sun has contacted the DWP for comment on the latest court case.

Claimant TP said: “I am relieved that the judge agrees that the DWP treated us differently than other severely disabled benefits claimants and that it was wrong to do so.

"The past six years have been immensely stressful as I have struggled to get by on a lower income.

"I just hope that the DWP will put all of this right as soon as possible so that those of us who have been badly affected by this unfair policy can get on with our lives.” 

Meanwhile, 2million Brits could get more than £1,500 in backdated benefits if the DWP loses a second legal challenge.

Legacy benefit claimants are fighting to get the £20 a week extra that was given to people on Universal Credit during the pandemic.

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