The article discusses the concerns raised by the Regulatory Policy Committee regarding new legislation by the Department for Work and Pensions (DWP) that allows banks to directly deduct overpaid benefits from claimants' accounts. This plan has been criticized for potentially mistreating vulnerable individuals, particularly as the government's impact assessment is deemed insufficient in addressing these concerns. The lack of transparency around the potential bank charges for these deductions adds to the issues. Welfare Secretary Liz Kendall argues the initiative could save taxpayers money, despite warnings from advisory groups like Citizens Advice.
The Regulatory Policy Committee criticized the DWP for failing to properly assess the impact of new deduction laws on the poorest members of society.
The DWP's unquantified bank charges for administering deductions raise transparency concerns, potentially exacerbating issues for the already vulnerable claimants.
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