Select committee: Public Accounts Committee

Conclusion 17

66th Report - Tackling fraud and error in benefit expenditure 2024-25 Published 11 Feb 2026 Addressed to HM Treasury
Conclusion (the committee's words)
The Department said that data was absolutely key to addressing fraud and error. Exploiting forms of data to keep benefit claims accurate was a lesson it had taken from Universal Credit. It pointed us towards its success in using real-time PAYE data from HM Revenue & Customs to verify Universal Credit claimants’ earnings, which it held up as a “gold standard” example of data sharing.30

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.

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