Forum Home → Discussion → Other areas of social welfare law → Thread
UC advance payments not recoverable post bankruptcy
Updated guidance from the Official Receiver’s Technical Manual at para 40.43 -
‘When a payment is made, Universal Credit payments are subsequently reduced for a period of time until the Payment on Account is accounted for, typically over 6 or 12 months. Universal Credit payments then resume normal levels. Following a bankruptcy any sums due in relation to a Payment on Account would be considered to be a provable debt and the DWP should not recover the outstanding sums from the bankrupt, including by way of reduced benefit payments.’
https://www.insolvencydirect.bis.gov.uk/technicalmanual/Ch37-48/chapter40/part2/part_2.htm#40.43