Thousands more families who were wrongly stripped of their tax credits by the US contractor Concentrix are to have their cases reviewed, after a campaign by Sheffield Heeley MP Louise Haigh.
A committee of MPs that produced a scathing report on Concentrix said today that HM Revenue & Customs had accepted its recommendations.
Concentrix was sacked by HMRC last year after many low income and vulnerable people were left without credits. The Work and Pensions Committee said up to 23,000 new cases will be looked at.
Concentrix was used by HMRC to help cut fraud and correct errors in the tax credit system, but faced a barrage of criticism.
In a report to MPs, the government disclosed that of 36,000 claimants who lodged an appeal against a ruling by Concentrix, 87 per cent were upheld and have had their benefits reinstated.
But now the remaining 23,000 claimants who did not appeal will have their cases reviewed as well.
Sheffield Heeley MP Louise Haigh, who campaigned for the additional case review, asked Prime Minister Theresa May to call time on the model.
She said: "This was not one rogue contractor but a system designed by Government to pursue and chase down claimants for profit."
Theresa May said HMRC will "learn the lessons from that contract."