Hi
I am trying to get information to compare how different local authorities approach the reclaim process for excess funds in Direct Payment accounts.
Would anyone be willing to share some of the wording that is used in the communication you get from the Council, anonymised of course?
Where I am they send a letter to inform you that there is a high balance on the account and that they are going to reclaim the money and they ask you to get in touch if this will cause you difficulty.
I wondered if other authorities actually follow the statutory guidance and have a review or reassessment in order to potentially use the money to meet the outcomes in a different way, after first establishing why the budget is underspent.
I have made a couple of FOI requests to councils but I thought that it might be quicker to get some feedback on here.
Many thanks
Some LA’s just take the money back. Others do it every 6 weeks or so. There is no consistency whatsoever from what I can see. Ive had a few claw backs. Funds accrued for various reasons ( unspent funds as a result of circumstances outwith our control and not simply ‘surplus’) I’ve had letters saying the funds would be recouped - no notice, no discussion with the social worker- just taken back. They also refused to allow me to have the DP in an account in my name to allow me to have ‘full control’ of the option 1 direct payment. The plan and outcomes were written and agreed by a social worker without collaboration. When I queried this with the social worker they told me it was their decision and it wouldn’t be changed. From what I know of the experiences of other people, the LA seem to be able to do what they like.
From Perth & Kinross Council DP Agreement:
“The Council will review your Direct Payment bank account at regular intervals. Where any element of the Direct Payment has not been used for any reason, this will be deemed an overpayment and will be recovered by the Council. You may be required to repay some or all of the amount, or the Council may make deductions from future Direct Payments due to you.”
It’s a fairly general statement and, in reality, there is not really a predictable pattern to recovery of DPs, as seems to be the case in other Local Authorities. I have heard of people being asked to pay back money, but I am also aware of examples of people with money sitting in bank accounts.
Thanks. It seems that Councils are routinely ignoring the law. The statutory guidance is clear that before funds are reclaimed, there must be a discussion with the direct payment holder and the social worker to establish the reason for the underspend. The reclaim should not be automatic. After establishing the reason for the underspend they then have to explore other ways in which the funds could be used to meet the agreed outcomes. Councils don’t seem to be following the correct legal process. My council, Dumfries & Galloway have said that they don’t have to follow the statutory guidance because it isn’t legislation. They don’t seem to understand that they have a legal obligation to follow the statutory guidance. I have spoken to a lawyer (a KC) about it and they described the Council’s position as “bizarre”. It’s really quite worrying that self-directed support isn’t working as the law intends it to and that Councils are getting away with hiding behind Direct Payment agreements which they have no legal authority to enforce. The more direct payment holders who challenge Councils the better. Hold on to your money, folks, and spend it on the agreed outcomes!
Thanks. That’s another Council which is not following the law.