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High Court rules DWP’s Universal Credit childcare payment system unlawful

3 mins read Childminding Children's Services
The government’s Universal Credit childcare payments system has been ruled unlawful by the High Court in a case brought by a single mother.
Nichola Salvato brought the case against the DWP. Picture: Leigh Day
Nichola Salvato brought the case against the DWP. Picture: Leigh Day

Single mum Nichola Salvato, 49, from Brighton, brought the case against the Department for Work and Pensions (DWP) saying its Proof of Payment rule put her in debt and forced her to reduce her working hours.

The rule is the DWP’s mechanism for assessing and paying the childcare costs covered by Universal Credit payments, which requires proof of payment from working parents before they receive funding.

In his jusdgement, Mr Justice Chamberlain said the rule subjected Nichola Salvato and other mums in her situation, to indirect sex discrimination and branded it “irrational”. 

In her case, supported by Save the Children, Gingerbread, the Professional Association for Childcare and Early Years (PACEY) and the National Day Nurseries Association (NDNA), Salvato said that in September 2018 she began working full-time as a welfare rights adviser for a housing association, and needed up to 3.5 hours childcare per day for her then 10-year-old daughter.

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