A new government initiative is set to crack down on welfare fraud by potentially banning individuals from driving if they fail to repay money owed.
The Department for Work and Pensions (DWP) will have the authority to retrieve funds directly from fraudulent benefit claimants’ bank accounts.
Expected to become law, the DWP’s fraud, error, and debt bill aims to save taxpayers an estimated £1.5bn over five years.
Those who refuse repayment could face a driving ban of up to two years under the new legislation.
Courts may suspend licenses for individuals owing more than £1,000 in welfare debts who repeatedly ignore payment requests.
While the DWP can request bank statements from debtors with sufficient funds, direct access to bank accounts is not permitted.
Liz Kendall emphasized the importance of deterring criminals who exploit the system and steal taxpayer money through fraudulent means.She highlighted increased consequences for offenders and stressed that safeguards would be in place to ensure fair usage of powers.
Ministers plan to introduce codes of practice and oversight mechanisms for monitoring power usage under the bill. Additionally, measures will be implemented by the Public Sector Fraud Authority against Covid-era fraud.
Helen Whately criticized Labour’s approach towards tackling welfare budget issues compared to Conservative efforts. She raised concerns about potential tax increases on working individuals if Labour fails to match savings achieved by Conservatives.
2025-01-21 19:01:04
Source from www.theguardian.com