The Department for Work and Pensions (DWP) provides State Pension and welfare benefits to about 22.7 million people across the United Kingdom.
New numbers revealed in the 2024 Fraud and Error in the Benefit System report show that the overall number of benefit overpayments over the last year was £9.7 billion (3.7%), up from £8.3 billion in 2023.
Personal Independence Payment (PIP) was implemented in 2013 to aid with additional expenditures associated with a long-term disability or health condition. The numbers reveal that £21.6 billion was spent on PIP last year, a substantial increase from £17.7 billion in 2022/23.
However, the findings reveal that, while overpayments dropped from £200 million in 2022/23 to £90 million last year, claimants may have to repay money to the DWP. The primary cause of PIP overpayments is claimant mistake (0.3%), in which someone fails to record a change in their circumstances, specifically a betterment in their condition.
According to the report, one in every 100 PIP claims were overpaid last year, which was the same rate as the previous year. It further stated that this accounted for £6 of every £10 overpaid.
How to Report a Change of Circumstances to the DWP
To report a change of circumstances, call the PIP enquiry line at 0800 121 4433, which is open from 9 a.m. to 5 p.m. Monday through Friday. Just be aware that business hours may alter throughout the festive fortnight.
Here is a complete guide to all changes in circumstances and whether you should notify the DWP about them.
Changes in Daily Living or Mobility Demands
You should notify DWP if, for example, you require more or less assistance or support, or if the condition will remain longer or shorter than you originally stated.
This modification may have an impact on PIP eligibility, as well as the amount and duration of the award.
Leaving the Country or Planning to Go for a Duration Longer Than Four Weeks, Even on a Holiday
The claimant’s eligibility for PIP may be impacted by this change. The claimant’s departure date, intended duration of stay, destination country, and reason for travel must all be disclosed to the Department of Work and Pensions (DWP).
Hospital Stays or Stays at Similar Facilities
According to DWP guidelines, both PIP components expire 28 days after the claimant is admitted to a hospital run by the NHS.
Patients who get private funding are not impacted by these regulations and can keep receiving either PIP component.
PIP is not payable until the claimant is discharged if they are hospitalized or residing in a similar institution on the date when their right to PIP begins.
Residential Care Facilities
After 28 days of residence in a care facility where the costs of the accommodations are covered by public or local money, the daily living component of PIP is no longer payable. Payment for the PIP mobility component is still available.
These regulations do not apply to anyone who pay for their placement entirely on their own. The PIP daily living component is not paid out until a claimant leaves a care facility if they are a resident at the time of application.
Linked Spells in Hospital and Care Home
Hospital spells are linked if there is a 28-day span between them. If there is a 28-day gap between spells, the daily living component is also connected to spells at a care facility.
Since payment is unaffected while residing in a care facility, there is no link for the mobility component. Payment for both PIP components will end following a total of 28 days spent in the hospital. PIP’s daily living component will cease to be reimbursed following a total of 28 days spent in a care facility.
These periods will also link if a claimant transfers from a hospital to a care facility or the other way around.
Incarceration or Claimant Held in Legal Custody
The claimant’s eligibility for PIP benefits may be impacted by this change.
The claimant’s date of arrest and, if known, the duration of their anticipated stay in jail or legal custody must be disclosed to the Department of Work and Pensions (DWP).
Held in Legal Custody
When someone is being held in legal custody, PIP stops being payable after 28 days. This holds true regardless of the type of offense—criminal or civil—and whether the person in question is remanded or found guilty.
Refunds for benefit payments that have been suspended are not provided regardless of how legal actions against the person turn out. If two or more distinct periods of legal custody occur within a year of one another, they are linked.
Name change
Although payment or eligibility for PIP will not be impacted by this change, it is crucial that the DWP obtains the most recent information on the claimant.
This modification must be documented in writing; if the claimant calls to provide this information, the DWP will request that it be done so. The following information must be included in the written notification:
- Complete information about their former name.
- Their new name.
- Information about any modifications made to the bank or building society account, including the account number or name, into which PIP is paid.
- Their signature on the letter.
A Change in the Claimant’s Representative
This refers to someone authorized to act on behalf of the claimant, such as an appointee or power of attorney holder.
This modification is necessary to enable the DWP to pay the appropriate individual at the appropriate time. The new representative operating on behalf of the claimant must include their complete name, address, and phone number.
The DWP just needs to know if the claimant’s representative has moved or has updated their contact information.
Change of Address
As long as the new location is neither a hospital or assisted living facility, it won’t have an impact on PIP eligibility or benefits. It’s critical that the DWP maintain the claimant’s most recent information.
They require complete information about the claimant’s new residence, including the postcode and the date of move.
Change of Doctor or Other Healthcare Provider
Once the PIP claim has been decided, this modification is not required and will not impact eligibility or payment.
However, it is crucial that the DWP receives the most recent information if the change occurs during the claim phase. This will guarantee that the assessment provider has the appropriate contact information to obtain any additional information they might need.
The new physician or other health care provider’s complete name, address, and phone number must be reported to the DWP.
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