Source · Select Committees · Public Accounts Committee
Recommendation 21
21
Accepted
DWP will implement codes of practice and HMICFRS oversight for new fraud powers.
Recommendation
We asked the Department how it would ensure that it used its new powers proportionately and effectively. It highlighted that the new powers and safeguards had been debated at length during the passage of the Bill. It said that it would be consulting on codes of practice, which would give more detail about how the safeguards would work.38 The Department told us that the ultimate safeguard would be the involvement of HM Inspectorate of Constabulary and Fire & Rescue Services – the Inspectorate would oversee how the Department used its powers, produce an independent report and come to a view on whether the powers were being used appropriately.39
Government Response Summary
The department already reports information on payment accuracy, investigations and debt recovery in its Annual Reports and Accounts, and intends to include proportionate reporting on the powers in the Public Authorities (Fraud, Error and Recovery) Act 2025 as they are implemented.
Government Response
Accepted
HM Government
Accepted
5.1 The government agrees with the Committee’s recommendation. Recommendation implemented 5.2 The department already reports in its Annual Reports and Accounts, information on payment accuracy, investigations and debt recovery, which are the three areas relevant to the powers in the Public Authorities (Fraud, Error and Recovery) Act 2025 (the Act). It is the department’s intention to include proportionate and appropriate reporting on the powers in the Act as they are implemented, in the Annual Report and Accounts. 5.3 The information gathering, search and seizure and debt powers within the Act build on the department’s existing powers to investigate fraud and collect overpayments and will be covered as part of annual reporting. 5.4 The Eligibility Verification Measure will additionally be subject to an annual independent review, as required in legislation. The Independent Reviewer will consider specifically whether the Eligibility Verification powers have been exercised correctly, and in line with its statutory Code of Practice, considering its impact and effectiveness. The Independent Reviewer will compile a report, annually, sharing this with the Secretary of State who is then required to publish this and lay a copy of it before Parliament. 5.5 All measures legislated for in the Act were taken along with substantial new safeguards to ensure that powers are used transparently and in a secure way. These safeguards are measure-specific but include independent inspection and oversight of use and delivery, the requirements to consult on and have key Codes of Practice in place to govern delivery as well as tightly defined parameters in primary legislation.