A DWP investigation has linked a suspected Organised Crime Group
(OCG) with 1,000 bogus benefits claims - potentially defrauding
more than £900,000 from the taxpayer – resulting in dawn raids on
suspects’ homes.
On Wednesday 17 May simultaneous arrests were made by the West
Mercia and West Yorkshire Police, who searched the properties and
seized evidence before questioning the suspects they hauled in.
DWP investigators believe the suspected OCG’s activity includes
fraudulent and inflated Universal Credit Advance payments and
collected evidence to support their investigation which will be
analysed in the coming weeks, alongside footage from the
interviews with the suspects.
Over 1,000 claims for Universal Credit (UC) are believed to have
been fraudulently submitted by the suspected OCG over a two-year
period, resulting in advance payments in excess of £900,000 being
alleged to have been paid out to the suspects.
DWP Secretary of State MP said:
“Welfare support is there for those who need it and in many cases
would otherwise be highly vulnerable. Any attempt to abuse this
support is truly abhorrent.
“It’s incredibly impressive witnessing first-hand how DWP teams
are working closely with the police to join up investigations and
bring to justice criminals who have been stealing from the public
purse.
“Cracking down on fraud is a key priority for my department and
we are beginning to turn the tide.”
The arrest follows official figures
published on 11 May showing that fraud and error in the benefit
system is falling, with a 13% reduction in the rate of UC
overpayments, which is worth £800m. Progress on cracking down on
fraud will deliver on the Prime Minister’s priorities –
preventing wastage which will help ensure national debt falls
whilewe also get a grip on inflation.
The overall rate of fraud overpayments has come down from the
highest recorded level in 2022 when fraudsters took advantage of
the action DWP took during the pandemic to ensure people who
needed help received rapid assistance.
The Government has been clear that it will crack down on those
exploiting the benefits system as they are stealing from those
who most need help.
Last year the Department for Work and Pensions launched a robust
plan to drive down fraud and error from the benefits system. The
“Fighting Fraud in the Welfare System” plan sits alongside
investment of £900 million that will deliver £2.4 billion of
savings by the end of next year, growing to over £9 billion by
2027/28.
This additional funding will allow the Department to review
millions of Universal Credit claims over the next five years.
They also provide intelligence on new and emerging ways to
identify fraud and error entering the welfare system.
