Do DWP only deal with benefits claims? If so, then I wonder what it'd have to do with them. I suppose it's for the DWP to keep a watch on things, in which case it must have potential impact on my benefits, it could be positive or negative, but I suppose it's unnecessary..OTOH having a social worker was something I thought unnecessary but it turned out to be helpful.
The only advice I can give you is that when filling in a form or entering into a contract, unless you are absolutely sure of your obligations and what you get in return, don't do it.
If you can get help with housing that you need that's great; but find out exactly what you will get.
Equally as important, ask what they mean by communications with the DWP. If you are unsure or can't get a clear answer it's probably best left alone.