The Prime Minister outlined plans for a new Fraud Bill, giving the Department for Work and Pensions (DWP) increased jurisdiction similar to HM Revenue and Customs (HMRC), in a significant move to combat benefit fraud.
The proposed law, which is expected to be introduced in the next Parliament, will provide DWP investigators the authority to make arrests, conduct searches and seizures, and impose civil penalties. Additionally, it will make use of newly available data streams to support inquiries into possible benefit fraud.
In his announcement on Friday, Rishi Sunak pledged to protect taxpayer funds while emphasizing the need to stop fraudulent acts that undermine the integrity of the welfare system. The actions expand on previous initiatives, such as the introduction of bank account monitoring last year, which has already resulted in notable cost reductions.
The Prime Minister emphasized the value of contemporary technology and restated the government’s resolve to use instruments like as artificial intelligence to identify and stop welfare system misuse.
In addition, the government projected savings of £600 million by 2028–2029 and highlighted the strategic revamp as one of the most significant revisions in benefit fraud legislation in over two decades.
But the action has prompted discussions and worries; an online petition critical of the alleged harsh treatment of assistance claimants has gathered over 24,100 signatures.
In response to the petition, the DWP defended the actions, emphasizing how crucial it is to update the legal system in order to successfully combat fraud and lessen its effects on legitimate claimants.
In order to dispel misunderstandings, the DWP made it clear that the new procedures do not permit direct access to claimants’ bank accounts or the tracking of their spending patterns. Rather, it involves other organizations providing pertinent information to confirm the eligibility for benefits, guaranteeing accurate distribution, and averting unintentional debt accumulation.
The fate of the proposed legislation is in doubt as the discussion heats up, potentially having an impact on taxpayer funding and the integrity of the welfare system going forward.