Mum Given 22 Years to Repay £16.5k Benefits Fraud After Kids Removed
Mum to repay £16.5k benefits fraud over 22 years

A mother who fraudulently claimed more than £16,500 in Universal Credit payments has been given a suspended prison sentence and ordered to repay the money over a staggering 22-year period.

The Fraudulent Claims and Court Appearance

Sarah Hanlon, 41, appeared at Crewe Magistrates’ Court where she pleaded guilty to two charges: dishonestly failing to disclose information and fraud by false representation. The court heard that Hanlon had been receiving an extra £825 per month in Universal Credit, which she claimed was for her three children who were living with her.

However, prosecutor Marta Pawloska stated that Hanlon had failed to inform the Department for Work and Pensions (DWP) of a significant change in her circumstances. In August 2022, all three of her children were removed from her care and not returned. Despite this, Hanlon continued to receive the enhanced payments for nearly two years.

A Suspended Sentence and Long-Term Repayment Plan

Hanlon, who represented herself in court, was given a 36-week prison sentence, suspended for 18 months. Instead of incarceration, she was ordered to complete 120 hours of unpaid work and 15 hours of rehabilitation activity. She must also pay £85 in costs.

The most significant financial consequence is the repayment order. The court instructed the DWP to deduct £61 from Hanlon's wages each month until the total sum of £16,558.61 is repaid. At this rate, it will take an estimated 22 years to clear the debt, potentially stretching close to her retirement age.

How the Fraud Was Uncovered

The prosecutor outlined that while part of the Universal Credit payment went directly to her landlord, the remainder was paid into Hanlon's personal account. The fraud only came to an end after the DWP invited her for an interview. On May 8, 2024 – after the interview was arranged – Hanlon finally removed the children from her claim.

Ms Pawloska emphasised the deliberate nature of the failure, stating the evidence clearly showed she did not report the change when her children were taken from her care.

This case highlights the serious consequences of benefits fraud, even when a custodial sentence is suspended. The DWP's recovery process ensures the taxpayer is repaid, but the long-term financial impact on the defendant can last for decades.