DWP informed me that my income-based JSA stopped after we submitted JSA2 form recently - we were asked to fill-in the form since we have been receiving JSA for long time and they need to review if they are paying correct amount.
They said they stopped because we hadn't reported my partner's self-employed income they found in the above JSA2 form.
The DWP lady I talked over the phone said we have to report the earnings every JSA sign-in session fortnightly and failure to do so is AGAINST The LAW, which we were not aware at all.
My partner's earnings is around £3,000 over the last 3 years, and the above DWP lady said with this amount the decision maker may reinstate our benefit, and currently we are waiting for the decision maker's letter.
What worries us is if this is considered as Benefit Fraud because we are now getting increasingly concerned about the lady's comment of "Againt The Law" - surely we never do it intentionally.
Can somebody advise me:
- is there any chance that DWP prosecutes us / bring us to court because of this (so far we have had no issues related with the benefits - no sanctions, no suspect etc, it's the first time to face such a problem)
- if we're prosecuted, do we loose our eligibility to receive other benefits such as Housing Benefit?
- probably we have to repay any overpayments, then how do they calculate the amounts?
- is there any chance that DWP requests penalty (then what sort amount is usually imposed?)
- any possible other consequences we may have to prepare?
Sorry for asking many questions, but we feel very scared now.
Very appreciate anyone's advice.