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Pensions dept lost £52m over mistakes

04/07/2008

Administrative mistakes have costs the Department of Work and Pensions £52 million over the last six years, it has been revealed.

The department's own report shows delays, financial loss and failure to meet people's right to benefits cost the DWP millions of pounds.

A DWP spokesperson told politics.co.uk: "Mistakes can happen and when they do we seek to correct them as quickly as possible with minimal disruption to the customer concerned."

The mistakes were made by various agencies under the DWP umbrella, including the Child Support Agency, the Pension Service and Jobcentre Plus.

Liberal Democrat work and pensions spokesperson Jenny Willott said the mistakes highlighted an "endemic" of official errors at the DWP.

"Not only is it hurting the public purse, it is hurting those most in need who rely on these payments to make ends meet," she said.

"The benefits system is so complex that even officials don't understand it. It must be simplified to cut out the mistakes and fraud that are proving so costly to the taxpayer."

But the DWP say the figures should be read in the context of a successful £125 billion in payments to 20 million customers every year.

"Ex-gratia payments can be made to customers following a departmental error or delay meaning they have suffered some financial loss and in exceptional circumstances," the spokesperson continued.

"We have worked hard to simplify our complaints process over the last few years so that customers are more aware of their rights and the options open to them when they feel they have not had the service they expect."