Commons Sense

House of Commons · Written Ministerial Statement

Public Authorities (Fraud, Error and Recovery) Bill

22 January 2025 · Department for Work and Pensions

Proposed by Liz Kendall Lab Leicester West

Benefits & WelfareStandards & Ethics

Summarised by AI from the official record, so it can contain mistakes.

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At a glance

Key points

  • The Government is introducing the Public Authorities (Fraud, Error and Recovery) Bill to prevent and deter public sector fraud and error.
  • The bill aims to deliver 1.5bn in benefits over five years by enhancing the powers of the Department for Work and Pensions and the Public Sector Fraud Authority in the Cabinet Office.
  • The bill seeks to extend investigative capabilities to identify instances of fraud and error more effectively.

Issue summary

The statement addresses the introduction of the Public Authorities (Fraud, Error and Recovery) Bill aimed at preventing and deterring public sector fraud and error.

Action requested

The Government is introducing the Public Authorities (Fraud, Error and Recovery) Bill to help identify, prevent, and deter public sector fraud and error. The bill aims to deliver benefits of £1.5bn over five years by extending DWP's powers and giving the PSFA in Cabinet Office broader investigative powers.

Key facts

  • The Public Authorities (Fraud, Error and Recovery) Bill is expected to deliver benefits of £1.5bn over five years as scored by the OBR.
  • Fraud against the public sector costs taxpayers around £10bn a year.
  • Since the pandemic, £35bn of taxpayers’ money has been incorrectly paid to those not entitled.
  • The Public Sector Fraud Authority (PSFA) within the Cabinet Office will gain powers to investigate and address fraud across other departments and public bodies.
  • Currently, at least £3bn per year is being lost to fraud and error outside tax and social security.
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