DWP benefit claimants report changes unfulfilled eligibility, Digi Mart USA News (United Kingdom): Benefit claimants could be missing out on higher payments because they fear that reporting changes in their circumstances could lead to their financial support being reduced. The Department for Work and Pensions (DWP) has acknowledged that a lack of confidence in the department is contributing to an estimated £3.7billion in unfulfilled benefit entitlement.
The issue was raised during a Work and Pensions Committee evidence session on November 4, when senior DWP officials were questioned about how much financial support claimants could potentially receive if their records accurately reflected their circumstances. Liberal Democrat MP John Milne challenged the DWP over the £3.7billion estimate and questioned whether existing awareness campaigns were making sufficient progress.
Neil Couling, DWP Director General for Services and Fraud, acknowledged that some claimants were reluctant to report changes because they feared losing money. He told MPs: “At the heart of the unfulfilled eligibility numbers – the £3.7billion that you are talking about, Mr Milne – is a lack of confidence that if I tell the DWP something, my benefit will go down when it should go up.”
Couling highlighted Disability Living Allowance (DLA) as an example of people potentially missing out on additional support. He said some existing claimants were failing to report changes that could result in a higher award because they were worried about contacting the department.
DWP Permanent Secretary Dame Sarah Healey confirmed that the department was using communications campaigns to encourage people to report changes in their circumstances, including those that might increase their payments. She also confirmed that DLA recipients had been contacted directly to remind them about the importance of updating their information.
The latest official DWP estimates show that £3.7billion in additional benefit entitlement went unfulfilled during the financial year ending 2026. This is known as “unfulfilled eligibility” and occurs when claimants have not provided the information needed for the department to establish that they could qualify for higher payments.
It differs from official underpayments, where the department has failed to pay someone the correct amount despite having the necessary information.
The estimates include £1.29billion relating to Universal Credit, £950million involving Personal Independence Payment (PIP) and £710million linked to DLA. Another £360million was attributed to Attendance Allowance, although that estimate is based on an older assessment period.
The DWP estimated that around one in 10 PIP claims had unfulfilled eligibility during the financial year ending 2026.
Claimants should report relevant changes in their circumstances, particularly where their health, disability or care needs have changed. For people receiving disability benefits, this could include changes to the help they need with everyday activities or getting around.
However, reporting a change does not automatically result in an increase. Depending on the benefit and circumstances, an award could increase, decrease or remain unchanged.
People receiving Adult Disability Payment or other devolved disability benefits in Scotland should report changes directly to Social Security Scotland rather than the DWP. The DWP is also expanding targeted case reviews to identify incorrect benefit payments, including both underpayments and overpayments.
Officials confirmed during the Committee hearing that reviews of Pension Credit claims had recently started and were already uncovering cases where pensioners had received less than their entitlement.
The department’s latest evidence suggests that improving confidence among existing claimants could be an important part of ensuring people receive the financial support they are entitled to.
