CRU - Compensation Recovery Unit

longwalks1

A close friend is off on long term sick due to work related ill health and currently has an injury claim going through their union solicitors. After almost a year of not being paid, they found out about UC, and that they could claim while still employed, which has obviousoly helped with rent, food bills etc.


The solicitors have sent a letter about CRU and if there is a payout from the company for the injury, whatever UC they have claimed will be taken back from the compensation, is this correct please?


And what happens if the company refuse to compensate for the injury?

sammyjammy

If there is no compensation paid then nothing is recovered. I don't think it as straightforward as any UC is automatically recovered it depends on the nature of the injury, why work is not possible, whether any work is possible etc. It would be up to the CPU to calculate this.

calcotti

Compensation payments for injury can be put into trust and excluded from consideration by UC.

See https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/832009/admh2.pdf

H2028 Where a person has been awarded a sum in consequence of a personal injury to that person and the sum is
1. held in trust or
2. administered on behalf of that person by the court or
3. only able to be disposed of by the direction of the court
the amount shall be disregarded from the calculation of the person’s capital1. (See also H2092.) Payments made from the Criminal Injuries Compensation Fund and the Thalidomide Trust will be included in this disregard.

kazzah

the cost of repaying any and all benefits to the CRU are covered by the compensation - so the claimant would receive the same amount of compensation whether or not they have to repay benefits - the amount of benefits claimed is added TO the claim - hope this helps

TBagpuss

Yes, that is correct - basically they don't get to make a profit out of being injured, so if they have recieved benefits then that amount is added to the claim and the DWP is paid back when the damages are paid. That way, neither your friend nor the DWP is left out of pocket and neither makes a profit.

If they don't get any damages then there is nothing to repay.