Universal Credit Sanctions More Punitive Than Court Fines, Report Reveals

A new report by the Public Law Project has revealed that sanctions on Universal Credit claimants are more severe and damaging than criminal fines. Under current Department for Work and Pensions (DWP) sanctions, claimants can lose 100% of their Universal Credit, leaving them hundreds of pounds worse off compared to those fined by the courts.

The report highlights that, on average, a single claimant over 25 sanctioned for the median length of time in May 2025 would lose approximately £525. This contrasts sharply with the average court fine of £283 imposed on convicted individuals in 2024.

Caroline Selman, senior researcher at the Public Law Project, emphasized the disproportionate impact of these sanctions. She pointed out that many claimants face additional challenges such as digital exclusion, language barriers, or unfamiliarity with the system, particularly refugees. Selman stressed that improving appeal access alone is insufficient and called for the entire sanction regime to be revoked or fundamentally reformed.

Claire Stern, deputy chief executive of Central England Law Centre, echoed these concerns. She noted that 86% of appealed sanctions are overturned, indicating systemic flaws rather than individual non-compliance. Stern criticized the government’s claim that sanctions are a last resort, arguing that the reality for claimants is one of avoidable hardship, deteriorating health, and prolonged exclusion from work. She advocated for meaningful changes to create a system that supports rather than punishes those it serves.

Responding to the criticism, a DWP spokesperson stated that the department is focused on increasing employment opportunities through ambitious reforms, modernization of Jobcentres, and tailored programs like Connect to Work. They emphasized that as priorities shift towards welfare to work, obligations to engage in employment support remain necessary.