Source · Select Committees · Public Accounts Committee
Recommendation 6
6
Gaps in transparency and information sharing between departments is hindering efforts to prevent, detect and...
Conclusion
Gaps in transparency and information sharing between departments is hindering efforts to prevent, detect and correct fraud and error. Timely data sharing can be used to prevent fraud by data matching, improve detection of fraud by sharing intelligence, and enable recovery in cross-government schemes. Increasing the use of these methods is a priority for the Cabinet Office Counter Fraud Function, although such arrangements will take time and care to establish due to data protection requirements. We were pleased to hear examples of departments collaborating and sharing data during the pandemic to improve government’s overall response. For example, BEIS used data held by HMRC to retrospectively check applications for the Bounce Back Loan Scheme. However, other opportunities to prevent fraud in real time were missed, and well-established industry data sources were overlooked. Publishing business beneficiaries of COVID-19 support schemes provides transparency and the opportunity for whistle blowers and others to report suspicious claims. But the data HMRC published on employers claiming CJRS from December 2020 onwards has insufficient detail to allow proper public scrutiny and 8 Fraud and Error BEIS will not commit to publishing details of COVID-19 loan recipients. Going forward, increased data sharing could enable DWP to identify changes in claimant eligibility for benefits and enable changes to be applied across all benefits before a payment is made, preventing errors from occurring and reducing the need for recovery. Recommendation: Cabinet Office should write to the Committee within six months detailing how it has worked with departments to identify and address gaps in real time data sharing. HM Treasury should, within six months, set out the transparency principles it expects for government support schemes, including the presumption that the business beneficiaries of government support schemes will be published.
Government Response
Not Addressed
HM Government
Not Addressed
6: PAC conclusion: Gaps in transparency and information sharing between departments is hindering efforts to prevent, detect and correct fraud and error. 6a: PAC recommendation: Cabinet Office should write to the Committee within six months detailing how it has worked with departments to identify and address gaps in real time data sharing. 6.1 The government agrees with the Committee’s recommendation. Target implementation date: November 2021 6.2 The GCFF will continue to work with departments to increase the use of real time application checks to help prevent fraud where there is a good business case to do so. During the COVID-19 pandemic, additional real time data checks such as the Bank Account Validation, Active Company and Change of Director checks have been established and proved their worth. The government will continue to deliver these while exploring further expansion of real time services. 6.3 The government will write to the Committee by November 2021 highlighting the work that is being done across departments to improve the use of data and progress made and future actions on real time data sharing.