Source · Select Committees · Public Accounts Committee
Recommendation 6
6
Accepted in Part
Evaluate impact of communications on reporting changes and update on fraud reporting feedback
Recommendation
Claimants not reporting changes in their circumstances remains a key cause of people not receiving the full amount of benefit they are entitled to. Unfulfilled eligibility occurs where a claimant fails to provide accurate information or evidence to the Department about their circumstances and as a result does not receive their full benefit entitlement. Unfulfilled eligibility was estimated to be £3.7 billion in 2024–25, up from £3.1 billion in 2023–24. It particularly affects claimants of disability benefits, such as Personal Independence Payment, who fail to report that their condition has worsened. The Department acknowledges that building trust with customers is key to reducing the number of incorrect benefit payments, alongside making it easier for people to report changes of circumstances. It is launching a communications campaign in January 2026 to help customers identify what they need to tell the Department 5 and to encourage them to do so. The Department also acknowledges that it needs to do more to build public trust by ensuring that people feel raising concerns about potential fraud is worthwhile, and has agreed to consider what information it might be able to share about the outcome of cases with people who make fraud referrals. recommendation a. The Department should evaluate the impact of its communications campaign to encourage claimants to report changes of circumstances and publish the results by the end of 2026. b. In its Treasury Minute response to this report the Department should update us on how it plans to provide more information to update people who raise concerns with it about cases of potential fraud.
Government Response Summary
The government agrees to evaluate its communications campaign to encourage reporting changes of circumstances and publish the results. However, it rejects providing updates on individual fraud referrals due to data protection, but commits to publicising its counter fraud activities more broadly.
Government Response
Accepted in Part
HM Government
Accepted in Part
The government disagrees with the Committee’s recommendation. Any individual can report suspected benefit fraud to the department by completing a Fraud Referral Form or contacting the National Benefit Fraud Hotline. The department takes allegations seriously and will take appropriate action following referral. Upon receiving a fraud referral, the department issues an acknowledgment confirming receipt and advising that no details about the outcome can be shared. This is because there is generally no lawful basis to disclose investigation progress or results to third parties. The Data Protection Act 2018 and the General Data Protection Regulation place strict duties on the department as a data controller, and it must ensure that personal information is protected. Providing updates could also risk prejudicing any ongoing investigation. However, the department recognises the concerns raised in the hearing and understand that members of the public want greater visibility of the work undertaken by its counter fraud teams. The department continues to review and where appropriate, publicise its counter fraud activities. Increasing the visibility of the department’s work will help show the impact of fraud referrals and reinforce the role the public plays in protecting the integrity of the benefit system. Publicising successful outcomes will also act as a deterrent to individuals who may otherwise consider claiming benefits they are not entitled to.