The Department for Work and Pensions (DWP) has placed thousands of Universal Credit claims under review, confirming it has prevented more than £1 billion in incorrect payments.
This move is part of a major government effort to reduce fraud, stop errors, and ensure claimants receive the right level of financial support without being pushed into debt.
With 7.5 million people currently receiving Universal Credit at a cost of £67 billion last year, the initiative reflects the government’s commitment to protecting taxpayer money while safeguarding those in genuine need.
DWP’s £1bn Achievement
The latest announcement revealed that the DWP has already examined over one million cases, preventing £1 billion in overpayments. These savings were made possible through the rapid expansion of the Targeted Case Review (TCR) team, which doubled in size to nearly 6,000 staff by mid-2024.
By correcting historical errors and ensuring payments are accurate, the DWP not only avoids excess spending but also identifies cases where people have been underpaid and ensures they receive what they are owed.
What is a Targeted Case Review?
The Targeted Case Review was launched in 2022 to address long-standing issues with incorrect benefit payments. Its key goals include:
- Stopping customers from building up debt due to overpayments
- Identifying unreported changes in circumstances
- Rectifying past claims and correcting errors
- Flagging suspected fraud cases for investigation
Claimants selected for review receive a notification in their Universal Credit online account, asking for additional documents such as proof of identity, income, or living arrangements. This ensures that every claim reflects the most up-to-date and accurate circumstances.
Future Plans and Savings
The DWP has ambitious plans for the future. With the Targeted Case Review team now fully staffed, the department projects total savings of £13.6 billion by 2030.
This approach forms part of the broader Plan for Change, which focuses on cutting fraud and error while also supporting people back into employment to reduce long-term reliance on benefits.
The government has also introduced the Public Authorities (Fraud, Error and Recovery) Bill to strengthen its capacity to clamp down on false claims and financial misuse.
Key Figures at a Glance
| Detail | Figure/Information |
|---|---|
| Universal Credit claimants | 7.5 million people |
| Annual UC cost (2024) | £67 billion |
| Incorrect payments prevented | £1 billion |
| Claims reviewed | Over 1 million |
| DWP review team size (2024) | Nearly 6,000 staff |
| Launch of Targeted Case Review | 2022 |
| Forecast savings by 2030 | £13.6 billion |
Why This Matters to Claimants
For claimants, the reviews are not just about preventing overpayments. They also ensure:
- Fairness: Those underpaid are identified and corrected.
- Debt prevention: Avoids the stress of having to repay large sums caused by errors.
- Confidence in the system: Strengthens public trust in how welfare funds are managed.
However, claimants must cooperate fully when contacted for reviews to avoid delays or interruptions in their payments.
The DWP’s block on £1 billion of incorrect Universal Credit payments marks a major milestone in tackling fraud and error.
With over one million claims already reviewed and plans to save £13.6 billion by 2030, the initiative highlights a balance between protecting taxpayers’ money and ensuring vulnerable households receive the right support.
For claimants, cooperation with the review process is key. By providing the necessary information promptly, they can safeguard their entitlement while helping to build a fairer, more accurate welfare system.
FAQs
What happens if my claim is under review?
You will receive a notification in your Universal Credit account requesting documents. Failure to respond could delay your payments.
Why is the DWP reviewing claims now?
The government expanded the Targeted Case Review team to correct errors, prevent fraud, and save taxpayers money while ensuring fairness.
Will I lose my benefits during the review?
Most people continue receiving payments while their claim is being checked. Only incorrect or fraudulent claims risk suspension or adjustment.