Source · Select Committees · Public Accounts Committee

Recommendation 40

40 Deferred

MHCLG was late completing a full fraud risk assessment for the Building Safety Fund.

Conclusion
The NAO report also highlighted how MHCLG was late to produce a full fraud risk assessment on the Building Safety Fund, only completing one in
Government Response Summary
The government committed to providing an update on the feasibility of fraud measurement by the end of 2025, but full outputs from the fraud loss measurement process will not be available until Autumn 2026.
Government Response Deferred
HM Government Deferred
6.1 The government agrees with the Committee’s recommendation. Target implementation date: December 2025 6.2 The government will provide an update on the feasibility of fraud measurement by the end of 2025. 6.3 The government has worked extensively to ensure that the action taken for the NAO recommendation is both efficient and effective. The government reviewed the Public Sector Fraud Authority’s recommended approach for fraud loss measurement which is a highly technical process. The public sector standard to effectively complete this exercise is 18 months in length, therefore full outputs will not be available until Autumn 2026. The response and approach has been agreed with the NAO and has been indicated in the six-monthly update to the PSFA. 6.4 The government will use initial findings and continued engagement with PSFA and NAO to drive continual improvement to counter fraud controls. The government will share learning across the Ministry and with the PSFA to help prevent fraud in other programmes.