Government unleashes £1.2 billion crackdown as part of anti-fraud drive

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  • First use of new anti-fraud powers to help identify claimants with undeclared savings or extended time spent overseas, saving taxpayers £1.2 billion by 2030/31.
  • Banks will be asked to flag accounts where data suggests certain benefit eligibility rules may no longer be met.
  • Part of the Government’s wider plan to save £14.6 billion by tackling fraud, error and debt, alongside broader moves to put work and opportunity at the heart of a sustainable welfare system.
  • The Department for Work and Pensions has issued its first Eligibility Verification Notice, requiring banks to share information to help the department check someone’s benefit entitlement.

    The Eligibility Verification Measure (EVM) - expected to save taxpayers £1.2 billion by 2030/31 - will ask banks to help identify claimants who may have undeclared savings or remain abroad longer than benefit rules allow, two major drivers of fraud and error.

    The measures will help detect fraud, reduce incorrect payments and protect taxpayers’ money. They have been introduced as part of the Public Authorities (Fraud, Error and Recovery) Act 2025 and contribute to the Government’s wider drive to save the taxpayer £14.6 billion over the next five years.

    They will also help identify incorrect payments sooner, ensuring people receive the support they are entitled to while reducing the risk of overpayments building up and claimants falling into avoidable debt.

    The move marks a significant step forward in the Government’s drive to create a fairer welfare system by cracking down on fraud, reducing costly error and ensuring support is targeted at those who genuinely need it.

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