UC two payments in one single evaluation duration issue – what next?

UC two payments in one single evaluation duration issue – what next?

Since publishing our present news article searching at the Johnson situation plus the two re re payments in one evaluation duration issue, we’ve been overwhelmed with email messages from folks who are afflicted with this matter. right Here, we offer an upgrade on where things are after payday loans SC the Johnson case and supply some tips about what people have to do next.


This year, a ‘two monthly wages in one assessment period’ issue can arise in universal credit (UC) for various reasons – most commonly when monthly wages are paid early due to the regular pay day being a non-banking day as explained, in our news piece from February. HMRC have actually given guidance (see para 1.8) to companies in an attempt to assistance with this presssing issue not all employers could be alert to the guidance.

The tall Court choice in R (in the application of Johnson as well as others) v Secretary of State for Perform and Pensions [2019] EWHX 23 (Admin) looked over this issue and concluded, when you look at the circumstances associated with certain instances being challenged, that the Department for Perform and Pensions (DWP) was incorrect to incorporate wage re re payments which failed to relate genuinely to the certain evaluation durations.

Exactly just What next for ‘Johnson’ situations?

We realize that DWP have actually expected for leave to appeal the Johnson instance, but the choice associated with tall Court is short for now. Which means that strictly, DWP ought to be using the Johnson governing in instances involving facts that are similar nevertheless it appears through the e-mails we have been getting that this isn’t always taking place.

The little one Poverty Action Group (CPAG), have been active in the Johnson situation, have published excellent home elevators what direction to go in this situation, including template letters to request a Mandatory Reconsideration from DWP and pre-action protocol for Judicial Review (JR), where appropriate if you find yourself.

You will find strict time restrictions for doing these exact things (usually 30 days for MR for instance) therefore we strongly suggest talking with a welfare legal rights adviser in just one of the regional organisations, such as people information in the event that you need make it possible to handle DWP.

Other situations

Often, two sets of pay are taken into consideration in one single assessment duration also where things may actually have already been done regarding the dates that are correct. This will take place where pay that is normal clash with UC monthly assessment durations. As an example, a consistent pay that is 4-weekly will not match the month-to-month UC period so some assessment durations will inevitably add 2 pay times.

There clearly was some help with the GOV.UK site concerning the means that pay durations can clash because of the assessment that is monthly.

But issues can happen due to also what sort of profits info is provided between HMRC and DWP. In the event that profits information through the manager is provided for HMRC after 9pm (but regarding the proper date), it won’t be distributed to the DWP before the after day. This might suggest the wages info is counted by DWP within the assessment that is next and certainly will resulted in double-wages issues outlined above.

Two things you need to additionally remember in these situations:

  • Where in fact the ‘double profits income that is employed by DWP in an assessment duration is high adequate to simply just simply take you off UC, this can end your UC claim and you may want to submit a unique claim via your online UC account for just about any subsequent UC honors.
  • You will usually keep the same assessment period where you re-claim this way (and there is less than 6 months between your last claim and your fresh claim.
  • If you want to reclaim UC and also you decide you will need to simply take an advance repayment as an element of this procedure, this is simply not additional to your typical UC honor and it’ll be reimbursed through a decrease in future UC repayments.
  • There are often dilemmas regarding the advantage cap, excess profits and lack of the work allowance. You ought to talk with a welfare legal rights expert who are able to allow you to comprehend your situation and just simply take any action that is necessary.

If you want to formally challenge exactly what has occurred together with your UC as a consequence of these problems, CPAG additionally offer the guidance that is following

Where a client’s pay situation is comparable to yet not on all fours with that associated with claimants in Johnson eg paid fortnightly or compensated four weekly as opposed to month-to-month, a mandatory reconsideration should be wanted regarding the foundation that the thinking in Johnson similarly applies to such circumstances towards the degree that:

‘There may however have to be an adjustment where it really is clear that the amounts gotten in an evaluation duration try not to, in reality, mirror, the levels of earned earnings in respect associated with the time period included within that evaluation duration (Johnson §52).’

Company payroll mistake

For folks who have had the wrong level of profits taken into consideration in an evaluation duration either because their boss delivered inside their Real Time Information (RTI) information belated or they think there clearly was a discrepancy between your numbers reported by the boss and whatever they had been actually compensated, there is certainly a somewhat various procedure to follow.

In the beginning, you really need to contact the UC provider Centre either on line or on 0800 328 5644 to dispute your UC calculation – if you’re able to offer evidence of when/what you had been really compensated, e.g. payslips or bank statements, you need to be certain to let DWP understand. Again, you can easily talk to a welfare liberties adviser, such as people information, for help with this.

If required you ought to ask for the situation become escalated. This will ideally lead to some body from DWP or HMRC searching in more detail at your circumstances as well as your RTI pay and taxation documents and possibly contacting the boss to make clear problems regarding the profits reported, if required.

Our understanding is this escalation path is beyond your formal appeal procedure you are within the relevant time limits to challenge the UC decision officially so you may want to request a Mandatory Reconsideration at the same time to ensure. If you should be perhaps not pleased with the results, associated with Mandatory Reconsideration, you may then an interest an unbiased Tribunal.

Contact: Meredith McCammond (please utilize kind at e mail us) or follow us on Twitter: @LITRGNews