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UK Government Granted Powers to Deduct Benefit Debts Directly From Bank Accounts Without Court Order
The new powers let the department order banks to take regular payments or a lump sum from eligible accounts, officials said.
- The Department for Work and Pensions can now recover outstanding benefit debts directly from bank accounts without a court order under the Public Authorities Act 2025, allowing regular payments or lump sum deductions.
- These measures target individuals no longer receiving benefits or PAYE earnings, where the DWP previously faced limited recovery options when people refused voluntary repayment.
- Debtors owing at least £1,000 may face court orders disqualifying them from driving, though essential needs such as employment or caregiving must be considered before any suspension takes effect.
- People who received letters from DWP Debt Management starting June 24 have until Saturday, October 24 to contact the department; the action can be avoided entirely by discussing repayment within four months.
- Work and Pensions Minister Andrew Western said in June, "To anyone with an outstanding debt- our door is open and DWP will always work with you to find an affordable way to repay.
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Total News Sources15
Leaning Left1Leaning Right0Center14Last UpdatedBias Distribution93% Center
Bias Distribution
- 93% of the sources are Center
93% Center
C 93%
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