DWP SET TO GAIN BROAD POWERS – They will scrutinize benefit claimants financial records to curb fraud and admin errors
The Department for Work and Pensions (DWP) is preparing to take a massive leap into the digital age and bank balances with the introduction of the Eligibility Verification Bill.
This new legislation is designed to arm the government with unprecedented powers to scrutinize the financial records of millions of benefit claimants in a bid to curb fraud and administrative errors. Specifically targeting those on Universal Credit, Pension Credit, and Employment and Support Allowance, the bill aims to rein in spiraling welfare costs by ensuring that the public purse only supports those who strictly meet the financial criteria.
The system functions through “Eligibility Verification Notices,” which compel banks and financial institutions to cross-reference their customer data against DWP-defined benchmarks. If an account flags a potential irregularity, banks will be required to hand over specific, though supposedly “restricted,” information. This includes sort codes, account numbers, and personal identifiers like names and dates of birth. While the DWP insists that these measures are a necessary surgical tool to verify eligibility, they have clarified that those receiving only the State Pension are currently exempt from this financial dragnet—though Parliament retains the power to expand the list of affected benefits in the future
