Source · Select Committees · Public Accounts Committee
Recommendation 13
13
Accepted
Significant development needed for government's counter-fraud profession despite growing membership
Conclusion
However, PSFA recognised that there is further work to be done on developing the counter-fraud profession. There are over 13,000 members of the counter-fraud function across government, around 84% of whom work for DWP or HMRC. Less than 45% of counter-fraud practitioners are members of the GCFP.38 HM Treasury told us that the aim is for 3,000 more people to be members of the GCFP in the next three years.39 PSFA explained that historically counter-fraud practitioners were not always able to demonstrate a wider understanding of the business context in which they operated. There is also evidence that many departments lack senior counter-fraud professionals with influence in their organisations.40 Cabinet Office highlighted the fact that the counter-fraud function is a relatively young function compared to more established functions, such as, HR, finance and commercial. The counter-fraud discipline needs time to reinforce itself as a function, a profession, and “a key way of doing business in government”.41
Government Response Summary
The government accepts the recommendation for further professionalisation, committing to actions such as doubling the number of counter-fraud specialists, launching the world’s first fraud leadership qualification, and providing further standards and training. It will also coordinate reviews of department resourcing and develop outcome metrics and financial targets for counter-fraud activities.
Government Response
Accepted
HM Government
Accepted
The government agrees with the Committee’s recommendation. Recommendation implemented The government will prioritise action with public bodies based on its understanding of fraud, as informed by the Workforce and Performance Review. The PSFA works with public bodies to help them understand fraud and corruption risks and their impact. It will prioritise work with departments where the impacts appear greatest. It will review public sector organisations’ compliance against the Counter Fraud Functional Standard to identify organisational weaknesses and obstacles to deliver counter-fraud outcomes. The PSFA has also launched its Risk, Threat and Prevention Service which offers targeted support to ministerial departments, public bodies or specific schemes to support them in developing and implementing preventative and detective fraud controls. The government is taking steps to ensure departments are adequately resourced to deliver counter-fraud outcomes. The government aims to double the number of qualified fraud risk assessors against current figures. The PSFA will launch the world’s first fraud leadership qualification, as well as further standards and training for public bodies to improve counter fraud and corruption capability. The PSFA has also supported departments in the recruitment of senior officials in counter fraud roles. This support aims to embed counter fraud expertise and skill in the development of new counter fraud teams and grow the Counter Fraud Function. To address existing challenges to the delivery of counter-fraud outcomes, the PSFA will coordinate reviews of department resourcing, action plan progress, and develop outcome metrics for counter fraud activities. It will work with departments to develop financial targets to demonstrate the impact of counter fraud investments. The PSFA is rolling out a strengthened process for reviewing the extent of compliance against the Counter Fraud Functional Standard to assess whether departments and public bodies are complying to PSFA’s mandatory processes.