Thousands of Personal Independence Payment (PIP) claimants may be entitled to back payments exceeding £5,000 due to significant missteps by the Department for Work and Pensions (DWP).
These mistakes have caused either underpayment or wrongful denial of support for disabled individuals, with some cases stretching back several years.
Administrative Mistakes Lead to Financial Loss for Disabled People
A large number of PIP claims were incorrectly refused, particularly among applicants without a National Insurance number—a requirement which is not mandatory for PIP eligibility.
The DWP acknowledged this issue and, in the past year alone, reviewed 455 of these cases, resulting in over £500,000 in compensation payouts.
The ‘MM’ Legal Judgment: A Turning Point in PIP Interpretation
In July 2019, a landmark Supreme Court ruling, following a prior Upper Tribunal decision, brought critical changes to how the DWP interprets “social support” within Daily Living activity nine of PIP assessments. Referred to as the ‘MM’ judgment, the ruling clarified:
- That “prompting” qualifies as “social support”
- That support can be given in advance of face-to-face interactions
- That the scope and timing of social support needed a broader understanding in benefit evaluations
This legal clarification prompted a reassessment of multiple PIP cases.
Advocates Call for Immediate and Inclusive Reforms
Ayla Ozmen, policy director at the anti-poverty organisation Z2K, highlighted the serious financial consequences that these underpayment errors pose to disabled claimants. She urged the DWP to accelerate efforts to correct these mistakes and stressed the importance of consulting with disabled people before making further changes to the system.
Former DWP Minister Sir Steve Webb supported the call for quicker action, noting that reviews concerning social support-related claims could have been addressed more efficiently. As the architect of the Triple Lock, Webb also stressed that resolving underpayment issues is a matter of principle and fairness.
DWP Response and Future Plans
A DWP spokesperson assured the public that the department remains “fully committed” to:
- Identifying affected claimants
- Paying any owed funds swiftly
- Placing disabled voices at the forefront of the upcoming ministerial PIP review
They reiterated their goal to ensure that PIP becomes a fair and future-proof benefit.
Key Facts at a Glance
| Detail | Information |
|---|---|
| Total cases reviewed | 455 |
| Compensation paid (last 12 months) | £500,000 |
| Potential payout per claimant | Over £5,000 |
| Cause of error | Misinterpretation of eligibility, legal ruling |
| Legal milestone | ‘MM’ judgment (July 2019) |
| Key reform area | Definition and timing of “social support” |
| DWP commitment | Swift correction, inclusive review, fairer system |
This revelation exposes a critical flaw in the UK’s disability benefits system, with thousands potentially shortchanged due to misapplied eligibility rules and delays in implementing legal clarifications.
The DWP is now taking steps to right these wrongs, but campaigners argue that quicker action and meaningful engagement with disabled people are vital.
With over £500,000 already paid and many more cases to review, this could mark a turning point in the fairness and accuracy of PIP assessments going forward.
FAQs
Why were some PIP claims denied due to the lack of a National Insurance number?
Some claims were wrongly rejected even though a National Insurance number isn’t required to apply for PIP. This was a major administrative error.
What does the ‘MM’ judgment mean for claimants?
The ‘MM’ ruling expanded the definition of “social support”, allowing for broader interpretation, including prompting before face-to-face interactions, leading to reassessment of past PIP cases.
How can claimants know if they’re eligible for back payments?
The DWP is reviewing affected claims. Individuals can contact the DWP for updates or seek advice from disability support organisations to check their case status.