The Bishop of St Albans asked a question about debt recovery on 23rd March 2022, during a debate on the government’s spring statement:
The Lord Bishop of St Albans: My Lords, in the light of the huge inflationary pressures that are on people across the board and with the Government’s plan to use universal credit as a way of recovering £6 billion-worth of historic tax credit debt, what assessment has been made of whether there is the slightest chance of recovering those debts? What assessment has been made of that level of debt?
Baroness Penn (Con): My Lords, the Government have done a significant amount of work in helping households manage their debts, for example, through the breathing space programme and the statutory debt repayment programme. It is important that the Government manage public money well and, where possible, ensure that where money may have been overpaid or mispaid it is paid back.