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Changes to direct deduction rates?
I have today been advised by DWP Debt Management that regulation 16 of the Social Security Payments on Account Overpayments and Recovery Regulations 1988 were amended on 22.04.2015 to allow direct deductions for administrative penalty cases to be increased from £18.25 to £29.60 per week.
I cacn find no evidence of this… you guys will set me right I’m sure :)
Cheers Shawn, much obliged as always.
New question!
Having read the rightsnet info and the SI it appears to me that the maximum that the DWP can deduct is 40% of the personal allowance (so £29.60 per week).
The recent correspondence my client has received states that his personal allowance has been reduced by the 40% and direct deductions of £18.25 for recovery of the overpayment - leaving the grand total of £54.65 to live on!
This cannot be correct? Is it me… the fact it’s Friday… should I get a drink?!
Hi
There have been issues about them not applying discretion to reduce the amount discussed here - http://www.rightsnet.org.uk/forums/viewthread/7657/
And also about them trying to deduct twice like yours here - http://www.rightsnet.org.uk/forums/viewthread/8038/
I think it is clear an ‘or’ - see reg 16 of SS(PAOR) Regs as discussed in 2nd one - you can see them here - http://www.legislation.gov.uk/uksi/1988/664/regulation/16/made - although not updated for recent increase
Hi Daphne
That was my understanding but as it’s Friday and my brain is officially giving up I thought I’d double check before firing off a letter or two!
Have a great weekend all 😊
No prob - and I would definitely go for the drink too :)
Oh, I plan to!