Government Unleashes £1.2 Billion Crackdown as Part of Anti-Fraud Drive

The Department for Work and Pensions has issued its first Eligibility Verification Notice, using powers in the Public Authorities (Fraud, Error and Recovery) Act 2025. The measure asks banks to help identify benefit claimants who may hold undeclared savings or stay abroad longer than the rules allow, two significant drivers of fraud and error.

The Eligibility Verification Measure is expected to save £1.2 billion by 2030/31 and forms part of a wider plan to save £14.6 billion from fraud, error and debt. It applies only to Universal Credit, Pension Credit and Employment and Support Allowance, and banks check only benefit-receiving accounts. The DWP says it gains no access to account transactions, that a flag is not proof of fraud, and that no benefit decision can be based on the information alone.

The measure begins with a test-and-learn phase under independent oversight and is supported by a statutory Code of Practice. Wider measures include 2,000 additional anti-fraud specialists in Jobcentres and tougher checks on Universal Credit claims made from abroad.

Article Credit: https://www.gov.uk/government/news/government-unleashes-12-billion-crackdown-as-part-of-anti-fraud-drive