Hundreds of families of with disabled children could be owed thousands of pounds in tax credits because of information on a Government computer system was ignored.
The benefits muddle came to light when local MP, Paul Burstow, was contacted by his constituent, Jason Clark.
Mr Clark told Mr Burstow that the Tax Credit office had written to him to say that they had been notified by the Department of Work and Pensions (DWP) that his daughter was receiving the benefit Disability Living Allowance (DLA) and this entitled the family to an extra tax credit. But Mr Clark's daughter had been receiving DLA for five years so surely the tax credit should be backdated? No came the answer because the Tax Credit people had only recently been notified by the DWP. But the information was on a computer system that the Tax Credit could access all along!
Mr Clark brought the benefits muddle to his MP at a surgery. Mr Burstow is challenging Chancellor Darling and Work and Pensions Secretary, Yvette Cooper to sort out the mess by identifying every person entitled to the extra tax credit and making sure they get it.
Paul Burstow MP said, "Mr Clark has highlighted a serious flaw in the benefits system. Despite Tax Credits having access to computer records that pinpoint the people receiving DLA it failed to flag up the entitlement to extra tax credits. This could run into millions of pounds of unpaid credits."
ENDS
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Mr Clark would be willing to speak to the media on request.
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