Universal credits amount of direct deductions

Please can anyone tell me how much direct deductions can be made from universal credits i did post a message yesterday but was probably waffly. Under previous rules etc you could negotiate lower deductions but UC are saying you cant negotiate lower payments even if client is in hardship. In this case the deductions for rent arrears are 3 times higher than under previous benefits

can any one shed any light on this. please

thank you for your time

regards

Nigel

The rules about deductions are in schedule 6 of the UC (claims and payments) regs - http://www.legislation.gov.uk/uksi/2013/380/schedule/6/made

The maximum they can deduct in total is 40% of the standard allowance (para 4) (although para 4(4) says that if in the best interests it can be exceeded in the case of rent arrears). There is a priority list (para 5) for which debts should be paid first and they can only do three different deductions (para 3).

The guidance - https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/409832/admd2.pdf - says at D2121 that deductions for rent should be no less than 10% and no more than 20% of the standard allowance

thank you for your help.

i shall look this up.

this client has had the 20% applied amd UC wont reduce. If you look at my previous post under nigelb because I didnt realise i had posted wrongly it shows that she only has around £40per week to live on this is because UC are also clawing back £57.00 for an advanced payment.

thank you again

regards

Nigel

well the guidance certainly seems to imply it can be reduced to 10 per cent - would be interested to know how you get on…

thank you

we will certainly try and will be raising social policy (EBEF’s ) as we call them at every opportunity.

will certainly let you know.

thank you for your help it is much appreciated

regards

nigel

this FOI request might be relevant:

“Now that third party deductions for rent arrears under Universal Credit are to be taken at a rate of no lower than 10% of the appropriate standard allowance and no higher than 20%, could you point me in the direction of any guidance on when the higher amount should be used in preference to the lower?

I know that the 20% deduction is low priority in the order of which deductions should be taken first when the 40%overall maximum deduction would otherwise be exceeded, but I cannot see any regulation or guidance stipulating when a 20% rate should be applied in preference to a lower rate.”

The DWP’s response, which includes a couple of their internal guidance pages which are not in the public domain, is at
https://www.whatdotheyknow.com/request/third_party_deduction_for_rent_a#incoming-597172

Query from a colleague:

UC are deducting 20% of the personal allowance towards rent arrears.

Then, the county court makes a suspended possession order to pay rent plus £5pw.

Does the court order have any bearing on the amount that UC are allowed to deduct? Even 10% would exceed the SPO.

(edit for clarity)

Jon (CHDCA) - 19 June 2015 10:40 AM

Query from a colleague:

UC are deducting 20% of the personal allowance towards rent arrears.

Then, the county court makes a suspended possession order to pay rent plus £5pw.

Does the court order have any bearing on the amount that UC are allowed to deduct? Even 10% would exceed the SPO.

(edit for clarity)

Just replying to myself on this point.. it seems Cit A specialist advice would be to challenge the DWP’s decision, giving evidence of the client’s personal circs, and be prepared to appeal and complain if the DWP appear to be acting unreasonably.