Over 15,000 claimants could be entitled to an average of £5,000 compensation following a victory by solicitors Leigh Day on behalf of 275 people who lost their severe disability premium (SDP) on being transferred to universal credit (UC).
Leigh Day had earlier won in the High Court on behalf of claimants TP and AR, arguing that the loss of SDP and in some cases enhanced disability premium (EDP) on transfer from legacy benefits to UC was unlawful.
This led to the DWP setting up the SDP Gateway in January 2019, to ensure claimants did not immediately lose out by up to £180 a month on transferring to UC.
However, an estimated 15,000 claimants who transferred before this date have lost money.
Solicitor Ryan Bradshaw of Leigh Day brought a case for compensation on behalf of 275 of these claimants and the DWP have now settled. Each claimant will receive an estimated £5,000.
However, there are many more claimants who have had nothing. Ryan Bradshaw said:
“I am glad to have settled this claim on behalf of my clients. However, there are thousands of others who have been similarly affected who have not been in a position to bring a claim like this.
They too will have experienced the loss of £180 a month after they were moved from legacy benefits on to universal credit in the years before January 2019. They too will have suffered unnecessary stress.
A suitable scheme, compensating all the people who have endured discrimination at the hands of the DWP, ought to be urgently put in place. The mistakes made here should never be repeated.”
Readers who think they may have been affected by this issue should seek help from an advice agency or law centre.