DWP Disability Benefit Compensation Payments
Analysis based on 6 articles · First reported Jul 22, 2025 · Last updated Jul 23, 2025
The event highlights significant administrative errors by the United Kingdom — Department for Work and Pensions, leading to a substantial compensation payout of £452 million. This could impact the United Kingdom's public finances and potentially lead to increased scrutiny of government benefit administration, while boosting the reputation of Martyn Day (lawyer).
The United Kingdom — Department for Work and Pensions (DWP) is issuing compensation to disability benefit claimants who lost severe disability premium (SDP) and enhanced disability premium (EDP) payments after being moved to Universal Credit before January 2019. Law firm Martyn Day (lawyer) challenged these underpayments, arguing that some individuals saw their income drop by up to £180 a month. The DWP has agreed to compensate for the loss, with Martyn Day (lawyer) estimating over £5,000 per person for some claimants. Approximately 57,000 people were affected, with the total repayment exercise projected to cost £452 million. While many cases have been resolved, about 13,000 cases are still pending, with the DWP expecting to clear them by September. Martyn Day (lawyer), through solicitor Ryan Bradshaw, has secured settlements for 275 claimants, with awards between £200 and £3,000.
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