Source · Select Committees · Public Accounts Committee
Recommendation 24
24
In written evidence Cifas told us that it believed government’s failure to mandate industry standard...
Conclusion
In written evidence Cifas told us that it believed government’s failure to mandate industry standard fraud significantly contributed to the vast scale of fraud in COVID-19 support schemes.66 BEIS told us that it “found cross-Whitehall collaboration incredibly useful” on the Bounce Back Loan Scheme and local authority grant schemes. It used data held by HMRC to retrospectively check applications for the Bounce Back Loan Scheme which helped banks spot potentially fraudulent applications.67 DWP told us that going forward increased data sharing could enable it to identify changes in claimant’s 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. DWP told us this “ideal” could be achieved using PAYE system data to automatically adjust universal credit payments.68 DWP also explained that it is considering the use of additional powers, for example data sharing with banks, which would have to be done in collaboration across government.69 62 Qq 78-79 63 Q 80 64 UK Steel Production: Greensill Capital, Volume 691: debated on Thursday 25 March 2021 65 Fraud Advisory Panel submission, page 6 66 Cifas submission, page 2. 67 Q 48 68 Q 86 69 Q 50 Fraud and Error 17 3 Responding to fraud and error
Government Response
Not Addressed
HM Government
Not Addressed
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. 12