All LA’s need to respond to this….

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  • #31939
    Andy Thurman
    Keymaster

    Hi,

    As per a recent post on the subsidy forum, the DWP’s recent o/p guide has changed the stance on when technical error occurs – stating it as from the date the decision is made instead of the following Monday.

    [b:751808a189]This will affect every single CTB overpayment you have raised/will raise.[/b:751808a189] 😯 😈 (OK – won’t affect things if CTB has been suspended)

    Putting to one side the financial position of this (reducing the amount payable from 40/100% to nil on all of these part weeks), this will make it impossible for LA’s to correctly report subsidy unless they manually adjust every single o/p raised – all software is programmed to split the o/p to tech/future from the Monday after as per DWP guidance.

    #89330
    Rob Hawes1
    Participant

    They might have changed the guidance, but have they changed the law?
    Reg18(7) of the Income-Related Benefits (Subsidy to Authorities) Order 1998 (as amended) defines a technical overpayment as
    ‘that part of an overpayment which occurs as a result of a rebate or council tax benefit being awarded in advance of the payment when –
    a) a change of circumstances, which occurs subsequent to that award, reduces or eliminates entitlement to that rebate or benefit; or
    b) the authority identifies, subsequent to that award, a recoverable overpayment which does not arise from a change in circumstances,
    but [i:15934fe66e]shall not include any part of the overpayment occurring before the benefit week following the week in which the change is disclosed to the authority or it identifies that overpayment.[/i:15934fe66e] (my italics).

    I read this as saying that the technical overpayment doesn’t start until the next benefit week. I must admit that I’m looking at a 2005/06 edition of CPAG, and it may be that this has been changed in a recent Subsidy Order but, if not, it’s another example of guidance not reflecting the law.

    #89331
    Andy Thurman
    Keymaster

    Thanks for the input Rob – hadn’t got that far with things.

    Anyone know if the order has been amended??

    #89332
    Darren Broughton
    Participant

    The up-to-date version is the same as Rob has posted. The 2 recent amending SIs don’t change anything either

    #89333
    Rob Hawes1
    Participant

    Have a look at the DWP response on Andy’s original thread on the subsidy boards…

    http://hbinfo.org/forum/viewtopic.php?t=22053

    #89334
    Andy Thurman
    Keymaster

    I won’t post a link (cos I don’t know how and they never work for me 😕 ) but this is fairly well covered now in the subsidy forum.

    In short – as we were until next year!

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