Select committee: Public Accounts Committee
Conclusion 11
66th Report - Tackling fraud and error in benefit expenditure 2024-25
Published 11 Feb 2026
Addressed to HM Treasury
Public Accounts Committee Tackling fraud and error in benefit expenditure 2024-25 All items in this report Report on parliament.uk ↗ Inquiry on parliament.uk ↗
Conclusion (the committee's words)
In its 2024–25 annual report and accounts, the Department published information on some of the work it had done to identify and tackle the root causes of fraud and error, particularly on Universal Credit through activities such as its Targeted Case Review of existing claims.20 Targeted Case Review has helped inform a range of improvements – for example, the Department is introducing ‘periodic redeclaration’ of Universal Credit claims after Targeted Case Review helped identify people not regularly reporting changes of circumstances as a key source of error.21 We note, however, that the Department’s analysis of the root causes of fraud and error has to date focused on claimant error and fraud rather than official error.22 13 Q 14 14 FAE0007 15 Q 14 16 C&AG’s Report (overpayments), para 2.16 17 Q 4 18 C&AG’s Report (on accounts), para 6 19 C&AG’s Report (on accounts), paras 6, 27; C&AG’s Report on DWP’s accounts 2023–24, Session 2024–25, HC 129, 12 July 2024 , paras 14, 21 20 DWP Annual Report and Accounts 2024–25, pages 104-105 21 C&AG’s Report (overpayments), para 3.21 22 DWP Annual Report and Accounts 2024–25, pages 104-111 9
From: Public Accounts Committee, 66th Report - Tackling fraud and error in benefit expenditure 2024-25 (HC 1231), 11 February 2026
Government response
The government responded to the whole report on 7 April 2026 (deadline 11 April 2026).
Summary written by Accountability Index from the government's response. It is not the government's own words.The government agrees with most of the Committee's recommendations, stating that several are already implemented, but disagrees with two: setting a more stretching overpayment ambition and updating people who report suspected fraud.
- On a more stretching overpayment ambition, the government disagrees; the department is working with the NAO to agree what constitutes a cost-effective control environment and is "not yet able to accept this recommendation" until then. It aims to reduce fraud and error to 2.8% by 2028-29.
- On spending the £3.5 billion of dedicated funding, the government agrees and says the recommendation is implemented. It states the department has committed to gross savings of £14.6 billion up to the end of 2030-31 from fraud, error and debt activity.
- On the Public Authorities (Fraud, Error and Recovery) Act 2025, the government agrees. It states it is the department's intention to include "proportionate and appropriate reporting" on the powers in its Annual Report and Accounts as they are implemented.
- On carers affected by inaccurate guidance, the government agrees and says the department will write to the Public Accounts and Work and Pensions Committees every six months, with the first update in September 2026.