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.

You can read the full story on the Leigh Day website

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  • Thank you for your comment. Comments are moderated before being published.
    · 17 days ago
    This is great. Next I hope they will tackle the erosion of transitional protection, which is not merely a freeze of income but a rapid, sometimes cliff edge loss of the SDP if any other UC elements increase including rent, which of course always does especially in private rentals. 

    As things stand, I'm in social housing so I will lose the yearly uprating plus my rent increase which currently is always inflation plus 1%, I pay the bedroom tax so I will have to pay 100% of any increase in that. 

    More worrying is that Reeves has said she will allow social housing companies to increase rents more than they've previously been allowed to. We could be losing our TP not in a few years, but potentially in the first year! 

    I hope Leigh Day and others will look at this next.
    • Thank you for your comment. Comments are moderated before being published.
      · 14 days ago
      @Aw Can't really understand this plus 1% or 2% above inflation increases every year which you get also with internet bills, etc. Inflation increases you can of course understand, your wage or benefit increase is suppose to cover inflation in principle. Of course in reality it doesn't usually, which makes it all the more worse. But how are you suppose to cover the extra percentage they add on top every year? Over ten years that's at least an extra 10% on 1% you are paying with no additional money to cover it. You are always going to get worse off year by year. Over many years that amounts to a significant loss. How can that be right.
  • Thank you for your comment. Comments are moderated before being published.
    · 17 days ago
    I'm dreading having to transfer to UC ,I also get SDP.
  • Thank you for your comment. Comments are moderated before being published.
    · 17 days ago
    Also, the £84 a month Additional Transitional Amount that is due to be paid to claimants of UC who were entitled to the Enhanced Disability Premium in an ESA award that preceding natural migration to UC, with effect from the first assessment period after 14th February 2024, has not been paid for those for whom natural migration occurred before 14/02/24.

    i am assisted a claimant who has been entitled to the Additional Transitional Amount for 11 months now but whose enquiries to the UC Full Service Office as to when it will be paid are being ignored.

    Does anyone know what recourse may be available on this. It isn't going to be easy because the regulations allow the Secretary of State to determine when and how the entitlements will be paid.
    • Thank you for your comment. Comments are moderated before being published.
      · 16 days ago
      @John Pearson You may have to find the correct years legislation and read the notes and memorandum the accompany the act itself which should clarify its intent and scope
    • Thank you for your comment. Comments are moderated before being published.
      · 16 days ago
      @John Pearson If you find the welfare act 2012 you will need to read up on the explanatory notes which will set the real purpose for having the act and also the regulations and it's intent

      Welfare Reform Act 2012

      I have not read it however if this is of help which I am sure most barristers and solicitors will be scrutinising for a case to be brought in the high court or for a judicial review

      https://www.legislation.gov.uk/ukpga/2012/5/notes/contents


    • Thank you for your comment. Comments are moderated before being published.
      · 16 days ago
      @John Pearson The regulations must have a document accompanying it which should explain how far and what is the extent of regulations and what they are put in place for. I have not read it however for regulations to be applied they also either go through an affirmative or negative process laid before parliament (most parties play tricks with that by placing them for 3 months just before the Christmas holidays).  Regulations have to be clear about the extent they can be applied - it is one of the most undemocratic way of doing things as they have a habit of being sneaked in. Regulations are also called statutory instruments but a careful look at the plain English document that accompanies the law itself when mentioning the regulations will reveal how far they can go for the law itself to have passed. Hope this helps
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