Select committee: Public Accounts Committee

Conclusion 25

6th Report - DWP Customer Service and Accounts 2023-24 Published 31 Jan 2025 Addressed to HM Treasury
Conclusion (the committee's words)
DWP estimates that claimants received 1.6% (£4.2 billion) less than they were eligible for in 2023–24, up from 1.5% (£3.5 billion) in 2022–23. These underpayments comprised £1.1 billion in official error and £3.1 billion in unfulfilled eligibility.49 Official error is where a benefit is paid incorrectly due to action, delay or a mistaken assessment by DWP, a local authority or HM Revenue & Customs.50 Unfulfilled eligibility is where a claimant by error, omission or choice fails to provide accurate information or evidence to DWP about their circumstances and as a result receives less than the full amount of benefit they are entitled to. It was referred to as ‘claimant error underpayments’ by DWP until 2023–24.51

From: Public Accounts Committee, 6th Report - DWP Customer Service and Accounts 2023-24 (HC 354), 31 January 2025

Government response

The government responded to the whole report on 6 May 2025.

Summary written by Accountability Index from the government's response. It is not the government's own words.

The government agrees with most of the Committee's recommendations in this response, but disagrees with the recommendation that it set out when it expects to meet its PIP processing target.

  • On PIP claim times, the government disagrees with the recommendation, stating the department "has to balance speed against the risk of inaccuracy". It says the Health Transformation Programme will modernise PIP "in the longer-term".
  • On ESA calls, the government agrees and says it is recruiting 160 colleagues by March 2025. It states that customer wait times for ESA enquiries "will be improved by September 2025".
  • On counter fraud, the government agrees and says that from April 2025 the department "will begin progressive deployment of an additional 3,000 staff", expecting the full number to be in role by 2027-28.
  • On machine learning, the government agrees and gives a target implementation date of summer 2025. It says the department "will support an in-confidence session" on the 2024 fairness analysis assessment.

Read the government's response ↗ Report an error