I was underpaid UC due to a failed change in circumstance, will I receive backpay?

BobbetyZ

Hi,

I just realised after moving for the second time, that the first time I moved in April 2025, I failed to report a change in circumstance which means I was underpaid UC for a period of 8 months due to housing costs etc as I was single renting a 1 bed with my child. I have since moved again (Nov 2025) however this time with a partner which means I am not entitled to UC. I have now updated all changes to UC accordingly.

Will UC backpay me for the underpayments between April 25 and November 25? I've tried doing some research but the only answers I get are if I have been overpaid by UC.

elsien

https://data.parliament.uk/DepositedPapers/Files/DEP2022-0452/160-Underpayments_V11.0.pdf

seems to depend on whether they consider your delay in reporting the change acceptable or not.

NedS

From a technical PoV, the UC system will not automatically generate an underpayment as it will only take the change of circumstance into consideration from the date it was reported, so it cannot generate a back payment.

As @elsien indicates, the process to get any potential back-payment is for the UC agent to refer it to a decision maker where you must demonstrate good reason why you failed to report the change at the time it occurred, given this is something you have agreed to do in your claimant commitment.

A Decision Maker will then decide if you have good reason for late reporting, or not.

Altior

If the OP hasn't qualified for UC for 3-4 months, will there be an overpayment?

born_again

https://forums.moneysavingexpert.com/discussion/comment/81912161#Comment_81912161

If they have been getting UC payments then yes…

Altior

Not sure if or how it would impact a potential underpayment, but I thought it was worth observing. Even if they found the underpayment was valid and payable, it could be contra with an overpayment in effect.

Spoonie_Turtle

https://forums.moneysavingexpert.com/discussion/comment/81912661#Comment_81912661

Logically, yes … this is UC though!

peteuk

I’m not sure the OP has said there is an overpayment, she notes that when looking she can only find the answer if you’ve been overpaid.

Change of circumstances is reported late
If the claimant reports a change after the end of the assessment period in which it happened, they must explain the reason for the delay

An exception to this is the payment of childcare costs which can be reported in the assessment period in which they are paid or at any point in the subsequent assessment period. See Childcare costs.

The decision maker considers all of the information the claimant provides to help them decide if the reason for lateness is acceptable. If it is not, arrears are not dueand the Universal Credit award is changed from the assessment period in which the change was reported.

https://data.parliament.uk/DepositedPapers/Files/DEP2022-0452/160-Underpayments_V11.0.pdf

Altior

The timing is inferred from the original post. The terms 'I just realised' and 'I have now updated' suggest very recent, rather than something that happened last year. But as it's not been disclosed, I posed it as a question, rather than as definitive.

Grumpy_chap

https://forums.moneysavingexpert.com/discussion/6658274/i-was-underpaid-uc-due-to-a-failed-change-in-circumstance-will-i-receive-backpay

The underpayments from April to November appear to be solely down to the OP not reporting the change. There is no indication of an error on the part of UC / DM. I suspect that any underpayment is lost.