{"id":124234,"date":"2026-08-13T11:25:00","date_gmt":"2026-08-13T10:25:00","guid":{"rendered":"https:\/\/en.econostrum.info\/uk\/?p=124234"},"modified":"2026-08-13T11:20:35","modified_gmt":"2026-08-13T10:20:35","slug":"dwp-confirms-who-will-be-exempt","status":"publish","type":"post","link":"https:\/\/en.econostrum.info\/uk\/dwp-confirms-who-will-be-exempt\/","title":{"rendered":"DWP Confirms Who Will Be Exempt When New Driving Licence Powers Take Effect"},"content":{"rendered":"\n<p>The rules are designed as a last-resort method for recovering debts from people who are no longer receiving a DWP benefit and cannot reasonably have the money recovered through <strong>PAYE income<\/strong>. According to the Department for Work and Pensions guidance reported by BirminghamLive, the department will first confirm that the debtor is not making payments, is not receiving a DWP benefit and cannot reasonably repay the debt through earnings before the new powers are considered.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Who Is Protected under the New Rules<\/strong><\/h2>\n\n\n\n<p>People who are currently receiving a benefit will not be affected by the driving licence <a href=\"https:\/\/www.gov.uk\/government\/publications\/dwp-direct-deduction-and-disqualification-from-driving-orders-code-of-practice\/dwp-direct-deduction-and-disqualification-from-driving-orders-code-of-practice\" target=\"_blank\" rel=\"noopener\">measure<\/a>, according to BirminghamLive&#8217;s report. The protection covers a broad range of payments administered by the DWP and other parts of government. The <strong>list <\/strong>includes Attendance Allowance, Bereavement Support Payment, Carer\u2019s Allowance, Child Benefit, Child Tax Credit, Disability Living Allowance, Employment and Support Allowance, Funeral Expenses Payment, Housing Benefit and Income Support.<\/p>\n\n\n\n<p>Industrial Injuries Disablement Benefit, Jobseeker\u2019s Allowance, Maternity Allowance, Pension Credit, Personal Independence Payment, the State Pension, Universal Credit, War Pensions and Working Tax Credit are also included.<\/p>\n\n\n\n<p>The distinction is that the powers are aimed at people who previously received <strong>benefits <\/strong>but are no longer claiming them. The DWP flow chart quoted in the report states that officials must confirm that the debtor \u201c<em>is not currently making payments, is not in receipt of a DWP benefit, and it is not reasonably possible to recover from PAYE income<\/em>\u201d.<\/p>\n\n\n\n<p>A driving ban cannot automatically be imposed simply because money is owed. Courts may use the power only where the debt is at least \u00a31,000, and a person cannot be disqualified if they have an <strong>essential need<\/strong> for their licence. That may include work depending on driving, such as courier work, or caring responsibilities.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" width=\"1200\" height=\"727\" src=\"https:\/\/en.econostrum.info\/uk\/wp-content\/uploads\/sites\/6\/2026\/08\/DWP-confirms-benefit-claimants-exempt-from-new-driving-bans-\u00a9-Shutterstock-1200x727.jpg\" alt=\"\" class=\"wp-image-124235\" srcset=\"https:\/\/en.econostrum.info\/uk\/wp-content\/uploads\/sites\/6\/2026\/08\/DWP-confirms-benefit-claimants-exempt-from-new-driving-bans-\u00a9-Shutterstock-1200x727.jpg 1200w, https:\/\/en.econostrum.info\/uk\/wp-content\/uploads\/sites\/6\/2026\/08\/DWP-confirms-benefit-claimants-exempt-from-new-driving-bans-\u00a9-Shutterstock-380x230.jpg 380w, https:\/\/en.econostrum.info\/uk\/wp-content\/uploads\/sites\/6\/2026\/08\/DWP-confirms-benefit-claimants-exempt-from-new-driving-bans-\u00a9-Shutterstock-520x315.jpg 520w, https:\/\/en.econostrum.info\/uk\/wp-content\/uploads\/sites\/6\/2026\/08\/DWP-confirms-benefit-claimants-exempt-from-new-driving-bans-\u00a9-Shutterstock-1536x931.jpg 1536w, https:\/\/en.econostrum.info\/uk\/wp-content\/uploads\/sites\/6\/2026\/08\/DWP-confirms-benefit-claimants-exempt-from-new-driving-bans-\u00a9-Shutterstock.jpg 1980w\" sizes=\"(max-width: 1200px) 100vw, 1200px\" \/><figcaption class=\"wp-element-caption\"><em>DWP confirms benefit claimants exempt from new driving bans \u00a9 Shutterstock<\/em><\/figcaption><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Repayment Remains the Department\u2019s Preferred Approach<\/strong><\/h2>\n\n\n\n<p>The DWP has said that recovery through these measures will be used only after other reasonable attempts to collect the debt and engage with the individual have been unsuccessful. Its preferred approach remains reaching an <strong>affordable repayment arrangement <\/strong>with the person concerned.<\/p>\n\n\n\n<p>Any driving ban is initially suspended provided the agreed repayment terms continue to be met. This means that even where a court authorises disqualification, the licence is not immediately lost if the debtor keeps to the repayment plan.<\/p>\n\n\n\n<p>According to BirminghamLive, the new powers form part of a wider effort by the Labour government to strengthen the recovery of money owed to the state. Prime Minister <strong>Andy Burnham<\/strong> has also said the government must \u201cget really serious\u201d about reducing the welfare bill.<\/p>\n\n\n\n<p>Asked whether benefits for current <a href=\"https:\/\/en.econostrum.info\/uk\/universal-credit-claimants-warned\/\" data-type=\"post\" data-id=\"120400\">claimants <\/a>could be reduced or removed, Mr Burnham said the focus was on changing the nature of support and making some assistance conditional on people taking opportunities presented to them.<\/p>\n\n\n\n<p>For the licence measures themselves, the DWP guidance draws a clear boundary: people who are currently receiving the listed benefits are outside the scope of this form of debt recovery. The powers are directed instead at qualifying former claimants where other repayment routes have already proved unsuccessful.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>People currently receiving specified benefits will not face driving licence cancellation under new Department for Work and Pensions (DWP) debt-recovery powers due to take effect in October. The measures can be used only in cases where at least \u00a31,000 is owed and other attempts to recover the money have failed.<\/p>\n","protected":false},"author":10,"featured_media":124237,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[46],"tags":[],"class_list":["post-124234","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-social-welfare","generate-columns","tablet-grid-50","mobile-grid-100","grid-parent","grid-33","no-featured-image-padding"],"_links":{"self":[{"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/posts\/124234","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/comments?post=124234"}],"version-history":[{"count":1,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/posts\/124234\/revisions"}],"predecessor-version":[{"id":124236,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/posts\/124234\/revisions\/124236"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/media\/124237"}],"wp:attachment":[{"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/media?parent=124234"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/categories?post=124234"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/en.econostrum.info\/uk\/wp-json\/wp\/v2\/tags?post=124234"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}