DWP warned benefit claimants face 'poor customer service' and 'long waiting times'

The Department for Work and Pensions (DWP) has “fallen short” of expected standards for customer service over recent years, a report has warned.

The National Audit Office, which is the UK’s independent public spending watchdog, found satisfaction levels were lower for certain benefits – particularly personal independence payment (PIP).

Labour has been in government for a matter of weeks, but it has promised that it will commit to providing a more “efficient and compassionate” benefits system and improved support from the DWP, including for PIP applications.

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The NAO report warned: “Faced with growing demand and a challenging operational context, DWP’s customer service has fallen short of the expected standards over recent years, particularly for certain benefits, such as PIP.

“It is generally not meeting its performance benchmarks or standards for customer satisfaction, payment timeliness and answering calls to its in-house telephone lines.”

DWP statistics analysed by the NAO report showed that 83% of customers were satisfied with the service between 2022 and 2023. That is 2% short of the department’s benchmark.

It was lower for PIP claimants, whose satisfaction rate was 77%. And it was higher for state pensioners, of whom 93% are satisfied.

Charities have repeatedly warned that these figures fail to take into account how “soul-destroying” it can be to navigate the benefits system.

People have previously told the Big Issue they were “driven to psychological trauma to the point of being suicidal” during the PIP application process.

James Taylor, director of strategy at disability equality charity Scope said: “These findings are indicative of a system that is sick and in need of reform, repair and rejuvenation. 

“Life costs more if you are disabled, and every day disabled people have to wait too long for support they are entitled is unacceptable. The low amount that PIP provides doesn’t go far enough as it is. We want to see the new government redesign the benefits system alongside disabled people.”

Disability benefit claimants are also more likely to be underpaid. In 2023-2024, disability living allowance (DLA) claimants were underpaid by £750million. And for PIP, it was £870m.

Ayla Ozmen, director of policy and campaigns at anti-poverty charity Z2K, said: “Unfortunately, many of our clients still experience poor customer service from the DWP, from long waiting times to speak to someone on their public helplines to increasing delays in mandatory reconsideration decisions.

“As well as causing considerable stress, these problems can delay people being able to resolve issues and overturn bad decisions, prolonging financial hardship. DWP should ensure that all benefit claimants receive an efficient service so that people are not wrongly left without money they’re entitled to.”

The DWP has faced a surge in people claiming benefits and state pension, with the total up by 2.4 million since 2019.

There were 22.7 million people claiming benefits or state pension in May 2023, whereas there were 20.3 million in May 2019.

The growth was mainly due to more people claiming universal credit, especially during the pandemic, and PIP, reflecting the increasing numbers with long-term health conditions and disabilities.

Universal credit performs well on payment timeliness and the use of the telephone. But with PIP, only 52% of claims are processed in line with the 75-day standard, a considerable improvement on the previous year but still considered “poor performance”.

Shelley Hopkinson, head of policy at anti-poverty charity Turn2us, says: “PIP is not working for disabled people. The gruelling application process, excessive waiting times, and frequent incorrect decisions leave many without the support they need. The people we work with can often only access support after a demanding and lengthy appeals process, which many don’t have the energy for. 

“These poor DWP processes exacerbate financial insecurity, adding unnecessary extra strain to people’s lives. It is imperative that future reforms to PIP reflect the experiences of Disabled people who rely on the benefit to live with the additional cost of disability.”

According to the NAO, the DWP “recognises that it needs to transform its services” – but it said the “scale and complexity of the plans mean delivery is risky, and DWP is unlikely to achieve in the short term the improvements that are needed”.

A DWP spokesperson said: “We acknowledge the challenges set out in this report and are committed to providing an efficient and compassionate welfare system.

“While it recognised the majority of new benefits claims were processed on time, our modernisation programme will help drive improvements in customer service, including improving support for PIP applications and a new online application service.”

The DWP’s modernisation programme is developing digital approaches to allow more customers to self-serve and reduce their need to contact DWP by telephone.

The department has estimated that 31.6 million minutes of the customers’ time spent on calls (43%) were avoidable – and it could combat this by providing more information online or improving processing times.

Plans for increasingly automated systems have prompted concern, but the DWP stresses that the telephone and face-to-face options at the Jobcentre will remain an option.

The NAO advises that the DWP review the effectiveness of its communication – including claim processing and call-waiting times to customers, and to identify how it can provide fuller and more up to date information.

The watchdog also urges the DWP to publish reports to be transparent about its annual performance and whether it has fallen short of customer service standards, as well as build on evidence and develop a plan to improve communications.

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