Fraud and error levels in spending on benefits like Universal Credit are unacceptably high, a watchdog has said. The Department for Work and Pensions (DWP) overpaid an “eye-watering” £8.6 billion across benefits in 2021-22, with £6.5 billion of that figure due to fraud, according to the Public Accounts Committee (PAC).
“The department’s continued delay in establishing transparent forecasts and targets for reducing fraud and error is hindering Parliament and the public from being able to effectively monitor its progress or hold it to account for its performance,” the PAC said in a report. It added that more must be done to get a grip on the billions of pounds being lost every year.
The PAC recommended that the DWP sets out forecasts for future levels of fraud and error in benefits, including its assessment of the factors driving these trends, by the publication of its next annual report and accounts. It should also set targets for fraud and error, the PAC said.
