Thousands of low-income families stripped of tax
credits by a US contractor will have their cases reviewed.
The taxman fired Concentrix, brought in to cut fraud and tax credit errors, after numerous complaints that benefits were wrongly removed.
The Government has told MPs 87% of the 36,000 claimants who appealed against a Concentrix ruling have had their benefits reinstated.
It plans to review the cases of 23,000 claimants whose benefits have been cut but did not appeal.
The review is likely to take until March.
MP Frank Field, chairman of the Work and Pensions Committee, said for many claimants “the document-heavy process of challenging a wrong decision by Concentrix was surely prohibitively daunting”.
He said: “The real answer is, of course, to root out fraud and error at entry to the system rather than stopping benefits in payment as first resort.”
Gavin Cordon, Daily Mirror