Here’s why bank statements of thousands of DWP Universal Credit recipients will be examined
The goal of checking bank statements for millions of Universal Credit applicants is to lower the rate of fraud and inaccuracy.
“Targeted case reviews” are being conducted by the Department for Work and Pensions in an effort to reduce fraud and errors in the benefits system. The DWP has announced that it has hired 1,400 additional counter-fraud specialists and 2,000 targeted case review agents to examine Universal Credit claims.
Over the next four years, “millions” of Universal Credit claims will be examined, according to plans to increase the case reviews taskforce to 6,000 members. In the UK, 6.67 million people are collecting Universal Credit, according to the most recent data from April 2024.
Those who want to evaluate claims must provide four months’ worth of bank statements and provide identification. In addition, they will need to provide proof of their housing expenses, income, savings, self-employment, children, creche expenses, health issues, student loan debt, and parental duties. There is also a phone interview, and missing it might mean benefit payments are terminated.
According to the DWP, it has already examined hundreds of thousands of applications this year and discovered anomalies that required correction in about 25% of them. It stated: “We have examined over 200,000 claims this year, identifying and correcting false statements on about 50,000 claims, and preventing people from accruing debt. This has included discovering secret second houses, inaccurately reported self-employment expenses, and undeclared capital totaling more than £16,000.”
This demonstrates the vital role Targeted Case Reviews are playing in addressing unreported changes in circumstances, reminding customers of their commitment to keep us updated on changes to their circumstances to help them avoid unnecessary debt, and catching those trying to take advantage of the welfare system.
It states that measures are in place to assist claimants and identify indications of vulnerability and complicated needs that may impair an individual’s capacity to oversee their claim, make modifications, and provide current information about their situation that may influence the amount they are eligible to receive. The Department for Work and Pensions (DWP) stated: “We anticipate that by tripling the size of our teams, we will save £6.6 billion in fraud or error alone by reviewing millions of Universal Credit claims.
By that time, the department hopes to have saved £9 billion through a comprehensive campaign against welfare system fraud.