Cl. has large DLA overpayment. Was being recovered by deduction from PC. Cl. became 65 & entitled about £121 p wk State Retirement Pension. PC ended & deductions for overpayment stopped for 12 months. Client now told deductions of about £41 p wk will be made from the retirement pension. This reduces his pension to about £80 - £34 less than PC amount. DWP say that under legislation they deduct a third of contribution based benefits but were unable to quote the legislation. They then admitted the amount can be reduced if hardship would be caused. CPAG says DWP normally take a third but makes no reference to legislation.

I would much appreciate any help on:-

1. Is there a legislative basis for the third, and if so what is it?

2. Has anyone any experience of this sort of situation and what arguments can be put to get the recovery rate reduced? In particular, has anyone successfully put the point that Government clearly believes the PC amount is the minimum pensioners should have to live on and therefore no deductions should bring income down below that level, other than by the amount allowed for deductions from means tested benefits?