THE Government is chasing grieving parents to repay a £238 loan given to their daughter as she was dying of cancer.

Jemma Irwin, of Southend, rightfully received £40,000 of benefits and a £238 social fund loan as she was off work with cervical cancer, which eventually killed her last September.

The Department for Work and Pensions deducted the £40,000 from a £300,000 payout Miss Irwin received after Southend Hospital failed to spot the cancer for five months before she died.

Her parents, who are still struggling to come to terms with the loss of their daughter, have now received demands to repay the loan, of which they knew nothing and can find no record.

Mum Erika Irwin, 62, of North Road, Westcliff, said: “It just seems to be very heartless.

“I understand money has to be paid back, but we have no proof there has been a loan and when you think of the amount she has already paid, it was more than £40,000.

“It’s almost 11 months and we are just getting over it and then they come and say we owe this money.”

Jemma, of Stromness Road, Southend, was entitled to the benefits and loan as she was off work as a result of the illness for several years.

The 39-year-old former civil servant was also entitled to the payout for the hospital’s mistake, but the DWP treated the compensation as if it were paid at the start of her sickness, rendering her ineligible for the benefits.

Erika, and Jemma’s dad Gary Homer, have accepted the £40,000 deduction, which happened while Jemma was alive, but cannot understand while the DWP failed to collect the outstanding loan at the same time.

They have given almost all of the money left after Jemma’s death to charities, including back to the hospital.

The DWP, which has sent them several letters, wrote again on Friday threatening court action, a bad credit rating for a decade, interest at 1.5 per cent a year and to take the money direct from Mr Homer’s pay cheque unless they paid in 14 days.

Mr Homer, 57, who delivers medical mattresses, said: “It’s not the money – it’s only £238 – but we don’t understand why if they took all this other money back it should have come up that she had taken this loan out to. I would like it to be taken to court because I think it should be brought to light.”