Showing posts with label local benefit fraud totals. Show all posts
Showing posts with label local benefit fraud totals. Show all posts

6 Aug 2019

Wealden's fraud team reports savings of over £400k

Wealden District Council’s counter fraud team saved the authority more than £400,000 in the last financial year.

The team investigated 69 cases in 2018/19, which when combined resulted in the council either recovering or saving £412,332.

Introducing the report, David Palmer, the council’s head of business services, said the team had been formed in 2014 as a result of a rise in cases in recent years, which he attributed to the effects of austerity.

He said: “Austerity has really caused more risks to be taken by the public. We didn’t used to have a large amount of fraud against the council, certainly not detected fraud against the council.

“The only thing we really had to rely on in the past, was a thing called the National Fraud Initiative. That still exists but is a bit behind than what we do here and still doesn’t yield great results by comparison.

“The National Fraud Initiative would have found about £30,000 in the last year, but you will see from your report, that we detected and effectively stopped fraud of £412,000. The team was formed in 2014 and since then has stopped fraud of approaching £2m.”

Since 2014, Mr Palmer said, the counter fraud team has shifted its approach, concentrating on prevention.

This prevention work currently focuses on Right to Buy applications, which are checked to ensure claims are genuine and the applicant is in a position to proceed with the purchase.

According to the report, the checks are made to ensure the council is not being used for money laundering purposes or that the applicant is purchasing on behalf of a third party.

Two such applications were stopped during the year saving a total discount of £145,900, the report says.

The report also notes an increase in the number of social housing fraud referrals being investigated, rising by 15 per cent on the previous year to a total of 20 cases. When combined, these investigations saw the council save £233,260, the report said.

Of the 69 cases investigated by the team, 16 related to investigations connected to Wealden’s Council Tax Reduction Scheme (CTRS). During the year, investigations connected to council tax (including both CTRS and single person discount schemes) saw £77,261 of fraud proven.


2 Aug 2019

Recorded benefit fraud costs £1m a week just in northern Ireland

£1m a week. That is only in northern Ireland - and only what they know about.

Benefit fraud in Northern Ireland cost the public purse more than £56m in the last year, a report has revealed. The amount lost to fraudsters has risen by almost 30% in five years.

The northern Ireland benefits bill is now running at more than £6bn a year.

The highest levels of fraud were seen in claims for Employment and Support Allowance (£20.7m) and housing benefit (£17.5m).

It has led to calls for tougher action against those who defraud the system. The Belfast Telegraph has previously reported on the low number of cases that result in prosecution.

Total expenditure on benefits in the last year was £6.1bn - a rise of 7.7% from five years ago.

This includes £2.3bn on the state pension, £892m on Employment and Support Allowance, and £688m on Disability Living Allowance.

The report details how customer fraud has risen from £43.5m to £56.2m over the last five years - up by 29.1%. Recorded benefit fraud in 2018 included:

• £20,749,065 through Employment and Support Allowance;

• £17,486,007 through Housing Benefit (Tenants);

• £6,238,160 through Pension Credit;

• £3,065,161 through Jobseeker's Allowance;

• And £2,245,117 through Universal Credit.

A further £23.1m was lost in the last year as a result of official error and £13m through customer error, where no fraud is intended.

The department estimated there were also underpayments of £30.5m due to official error.

A spokesman said:
The Department has a sizeable and experienced benefit security team which makes use of specific powers to effectively detect and target loss through mistakes and/or intentional frauds. For example, during 2018/19, over 8,000 case reviews, interviews or full fraud investigations were undertaken leading to over 2,500 cases where benefit valued at over £17m was stopped or reduced, overpayment recovery was initiated and, where appropriate, sanctions including convictions through the courts were secured.
In June, this newspaper reported how less than a quarter of suspected benefit frauds result in prosecution.

In the five years to April, a total of 8,092 investigations were identified. Across the same period, 1,963 benefit fraud cases came before the courts - just 24%.

In the last 12 months, there were 1,157 investigations and 302 cases were brought to court.


1 Aug 2019

Councils' fraud team stops nearly £4.5m frauds

Nearly £4.5million in tenancy and Right to Buy fraud has been stopped in Ipswich and East Suffolk in the last year, shock new figures reveal.

In Ipswich, 14 Right to Buy applications were halted, preventing £969,598 being lost, while £1.7m was saved in tenancy fraud after eight council properties were recovered and nine applications prevented from those unsuitably attempting to claim a home.

In East Suffolk, 20 fraudulent Right to Buy applications were stopped saving £1,256,025 while £465,000 in tenancy fraud was identified.

Siobhan Martin, who heads up the joint team across the two authorities, said: "Our work is all about supporting legitimate people who are really deserving - hardworking genuine people. It's about identifying, evidencing and prosecuting those people who are abusing the system.

"Paying council tax is challenging for some people so we need to show what worth we are giving back [by stopping fraudulent activity] and ensuring value for money."

Among some of the instances behind the fraudulent activity are council house tenants sub-letting their property or money for Right to Buy coming from suspicious sources flagging up potential money laundering concerns.

The team also cracks down in other fraud areas such as disabled facility grants, improper blue badge applications and single person council tax discounts.

The team is part of a national co-ordination network, having seen instances where tenants have been sub-letting their Ipswich council house while living in another part of the country.

Mrs Martin said: "Where we see direct results there is also important information sharing with other organisations in other areas. It might be any one piece of information that can be the key."

Often tenancy fraud can be an indicator of other offences such as abuses of other benefits or drug operations, according to Mrs Martin.


14 Feb 2019

More fraud to find, says Cornwall

Cornwall Council's fraud investigation team has helped with cases of benefit swindles worth more than £630,000.

Since April 2018 the fraud investigations team at County Hall has helped provide information to the Department for Work and Pensions (DWP) in 198 fraud cases which had an overpayment value of £636,086.

Further investigations saw the DWP raise fines worth more than £30,000 and 23 prosecutions.

The team also investigates council tax support fraud and investigated 32 cases which identified more than £40,000 in overpayments. These have resulted in 10 people being successfully prosecuted and in five cases penalties have been ordered of more than £4,000.

Tenancy fraud is another area of investigation for the team which had 62 referrals since April 2018 with 12 cases where keys were returned, four right-to-buy applications were withdrawn, two false successions were identified and stopped and two withdrawals from the homeless/Home Choice register.

Prosecution action is being instigated after the team found that someone was fraudulently using the bus pass of a dead person.

The team also investigated a case of the deaths of two pension recipients not being reported, resulting in overpayment of £9,856. Action is being taken to recover the debt.

Jason Pengilly, investigations manager at the council, told the audit committee that his team treats every report seriously and will investigate anything which is sent to them.

He was asked whether more could be recovered if there were more resources for the team.

Mr Pengilly told the committee: "The more we look for the more we find."


31 Jan 2019

Benefit fraud & tenancy fraud in Cornwall

Cornwall Council’s fraud investigation team has helped with cases of benefit swindles worth more than £630,000.

Since April 2018 the fraud investigations team at County Hall has helped provide information to the Department for Work and Pensions (DWP) in 198 fraud cases which had an overpayment value of £636,086.

Further investigations saw the DWP raise fines worth more than £30,000 and 23 prosecutions.

The team also investigates council tax support fraud and investigated 32 cases which identified more than £40,000 in overpayments.

These have resulted in 10 people being successfully prosecuted and in five cases penalties have been ordered of more than £4,000.

Tenancy fraud is another area of investigation for the team which had 62 referrals since April 2018 with 12 cases where keys were returned, four right-to-buy applications were withdrawn, two false successions were identified and stopped and two withdrawals from the homeless/Home Choice register.


30 Jul 2018

Frauds & errors found by Darwen Council

Steps to investigate fraud concerning Blackburn with Darwen Council last year have been revealed. (h/t FraudManager)

A total of 467 cases of fraud or errors were found over 2017/18 resulting in savings of £229,413 in cases relating to benefits, council tax discount, blue badges and housing.

The majority of cash saved has been from single person discount for council tax, where £87,348 has been saved through the correction of 323 instances of fraud or error.

A further £60,904 has been identified from 28 cases of people claiming benefits including housing or council tax support.

And 107 instances of fraud or error relating to blue badge or residents' parking permits have been found and corrected, totalling £57,423.


24 Jan 2018

43 benefits cheats prosecuted in Plymouth in the last year

Plymouth benefit cheats were convicted of swindling £850,000 from the public purse in 2017, shocking new figures reveal.

Forty-three defendants were sentenced in city courts last year, statistics show.

Figures released by the DWP show the number of people with PL postcodes convicted of false benefit claims.

The figures cover years of previous overpayments – with people pocketing money to which they are not entitled.

Judges have repeatedly warned defendants that the money they swindle could have been spent on schools and hospitals. But few are sent straight to prison, walking free to pay back the money they owe – again often over a period of years.

Figures include offences involving dishonesty, and separate charges which involve oversight rather than fraud.

The figures only include those people prosecuted in court. The DWP accepts offers of repayment from other false claimants, usually of smaller amounts which would be dwarfed by the costs of bringing a case.

A spokesman for the DWP said: “The department takes its responsibility to detect, prevent and recover benefit fraud very seriously as the money paid in benefits is taxpayer’s money. It is right that we ensure it is paid correctly, and recover any money that is paid incorrectly.”

Among false claimants convicted at Plymouth Crown Court last year was 54-year-old Jenette Bishop, who swindled more than £85,000. She pocketed three types of payment claiming she was living alone over a period of nine years – when in fact she shared a house with a partner who was in paid work.

Bishop, from Eggbuckland, pleaded guilty to three counts of dishonesty, failing to notify a change of circumstances affecting a benefit claim on different dates from March 2005 to December 2014.

Plymouth Crown Court heard how she had claimed benefits while going on several holidays with her partner. She was handed an eight-month prison sentence, suspended for two years after the judge said he could take “personal issues” into account.

Another woman told lies about her own and her husband’s income so she could pocket more than £30,000 in benefits – lavishing some of the cash on a trip to Australia.

Recruitment consultant Barbara Jones, aged 46, repeatedly submitted false accounts grossly underestimating the household earnings, Plymouth Crown Court heard in April.

Jones, from Efford, admitted six charges of making false statements to obtain benefit between 2011 and 2015. The court heard that she was already paying back benefits at a rate of £150 per month, which will take 15 years to pay back. She was handed a 10-week jail term, suspended for 12 months, with 180 hours unpaid work. She must pay £1,000 prosecution costs.


29 Sep 2017

Council crackdown uncovers millions of pounds worth of housing fraud

A crackdown has uncovered millions of pounds worth of housing fraud, according to council bosses. (h/t tenancyfraud)

Hundreds of cases of fraud or errors in applications for council housing were reported leading to dozens being marked as fraudulent.

East Dunbartonshire Council said the reports of fraud were up on previous years with almost 250 cases coming to their attention in the last year, with 42 marked fraud or containing errors.

Investigations led to 39 offers of a tenancy being withdrawn and a saving to the council coffers running into millions of pounds.

The council said each case of tenancy fraud costs and estimated £93,000 and affects others on the waiting list for housing.

The crackdown has, the council said, led to homes being unlocked for others who were further down the list who could have missed out.

The cost is estimated to be £3.6m saved.

The investigations also found three houses not to be occupied and they have since been reclaimed.

Another six homelessness applications were identified as having been made either fraudulently or in error.

The council said it has sent one case to the Crown Office and Procurator Fiscal Service for consideration of criminal proceedings.

As well as the housing scams the fraud team also found Council Tax irregularities totalling £202,412, business rates evasion of £54,363 and employment-related fraud/theft of £1,139.

And on top of that a total of £89,337 was saved through the National Fraud Initiative.

The investigations across council departments found a range of fraudulent applications including for education places/funding requests and taxi licences.

Councillor Gordan Low, Leader of East Dunbartonshire Council, said, “Well done to everyone within the Corporate Fraud Team for their work over the past year. We have a zero-tolerance approach to fraud and corruption, and are committed to safeguarding public funds. Rest assured, we will continue to work with our partners to tackle all incidents of fraud - protecting the public purse and ensuring fairness as regards issues such as social housing, Council Tax and school placing requests.”

He urged the public to help the council by reporting any cases of fraud to help keep council costs down and protect council services.


28 Sep 2017

Dundee team spots £100k's of frauds

Specialist investigators have identified hundreds of thousands of pounds being claimed through fraud in Dundee, it has been revealed. (h/t Fraudmanager)

The city council’s corporate fraud team has also managed to claw back thousands of pounds which had been dished out to people, through a series of probes.

During 2016/17, the council managed to recover nearly £125,000 which residents had claimed or attempted to claim through a variety of frauds linked to income, parking, welfare, tenancy, council tax and even blue badges for disabled parking.

Further investigations took place into frauds by residents dealing with other departments including trading standards, legal and licensing, and children and families. Meanwhile, the specialist team also identified frauds worth more than £330,000 in the city linked to more than 260 housing benefits overpayments.

The details have been revealed in a report to the council’s scrutiny committee, on the work of the corporate fraud team (CFT).

The CFT was set up in 2015 and has responsibility for investigating allegations of fraud linked to a variety of things, including housing benefits.

Of the money recovered, about £38,000 was from fraud linked to council tenancies and blue badges.

There were 137 cases of fraud linked to council tax reduction, exemptions and discounts, worth just over £70,000.

Greg Colgan, the council’s executive director of corporate services, said council staff worked with a variety of agencies on their investigations — including Police Scotland. They have also developed a “whistleblowing policy” in order to identify possible cases of fraud.

In addition, the CFT plans to become involved in the serious organised crime group. It already works with a number of national agencies and networks, sharing intelligence and ideas with others across the country.


13 Sep 2017

Sandwell counter-fraud team's successes

Sandwell Council’s highly successful counter fraud team has been praised for making huge savings after a series of investigations into benefits, house sales and financial dealings.

The team – which has been shortlisted in the Government’s Counter Fraud Awards scheme, Fraud Team of the Year category – works with a wide range of council departments and partner organisations to seek out possible frauds and other finance-based problems in the borough.

A special counter fraud report highlights its many successes – achieving almost £10 million in actual and notional savings after a range of inquiries in the last 12 months.

Councillor Steve Trow, cabinet member for core council services, said: “This is an excellent report which highlights the many successes of the unit and emphasises that the council is committed to operating a zero tolerance on fraud, corruption and bribery. The work by the counter fraud unit shows that the team thoroughly investigates in a wide variety of areas involving suspected or reported fraudulent activities and has come up with excellent results and huge savings. All matters will be fully investigated and appropriate action will be taken to recover money stolen from the council and deter future instances, whether it be by penalties or, if necessary and in the public interest, by prosecution.”

The team helped the council to save more than £500,000 after investigating incorrect and potentially fraudulent claims for the 25 per cent Single Person Discount on council tax. On top of that, there were 73 cases where people were issued with a penalty charge of £70, leading to £5,110 being collected by the council. Penalties have been introduced by the council to deter incorrect or fraudulent claims, and to encourage people to promptly report changes in circumstances.

Work by the team also led to big savings in housing benefits and council tax reduction, with £78,000 in overpayments being identified.

Their work in social housing fraud led to huge notional savings for the council. The Cabinet Office calculates the cost of social housing tenancy fraud as a notional £93,000 per property. In Sandwell, 73 properties were recovered, which, using the Cabinet Office’s calculation, amounts to a notional £6,789,000 saving.

The team also stopped 67 fraudulent applications, before keys were handed over, achieving an estimated £36,000 notional saving per application, or £2,412,000 in total. This all amounts to a total notional saving of £9.2 million in relation to social housing tenancy fraud.

Investigations continue into the Right to Buy frauds where five applications, worth a total value of £206,000 in discount, were removed as a direct result of the team’s inquiries.


2 Aug 2017

Over 40% of benefit fraud prosecutions are in Greater London

London's over-40s are the people most likely to get into trouble over benefit fraud, with women more likely to be charged than men.

The last year's records of fraud defence lawyers DPP Law show that more than two thirds of cases involved people over 40. The most honest age group was 18 to 24, with just one case that went to court. The data also showed a fair split between the sexes, with women slightly ahead at 52.

The biggest hot spot for benefit fraud was Greater London, with the area accounting for around 43% of the total. Merseyside was in second place with 35%. However, in a third of cases that went to court, the person charged got off.

"Our solicitors have worked on a lot of benefit fraud cases over the years and these results highlight the broad spectrum of these types of proceedings," says Stuart Nolan, managing director of DPP Law. "Many benefit fraud cases are often the case of overpayment, which can happen without an individual's intent to defraud. We've also seen a lot of the clients we have defended found not guilty. So, in the arena of benefit fraud, there are a lot of shades of grey."

It's the Department for Work and Pensions (DWP) that's in charge of benefit fraud investigations, with many staff located in local Jobcentre offices. Local authorities also carry out housing benefit and Council Tax benefit fraud investigations.

Those found guilty of benefit fraud are usually ordered to pay back the cash - and may also be hit with an extra penalty of between £350 and £5,000, as well as having their benefits cut or stopped.

Many people are caught via tip-offs on the hotline - like businesswoman Ncola Alcock earlier this year. Claiming to be living alone, she netted more than £81,000 in child tax credits and housing benefit over a period of five years. However, she'd been daft enough to post the fqact that she was married on her Barking Mad business website - and was shopped to the authorities.

And just last week, George Beacham was caught working as a binman after claiming he 'could only walk two yards in 15 minutes'.


14 Feb 2017

Benefit fraudsters con more than £1.7m out of Halton Borough Council

Benefit fraudsters have conned Halton Borough Council out of more than £1.7m over five years.

Figures released by the local authority have shown that con artists have taken hundreds of thousands of pounds each year between 2011 and 2015.

The numbers were obtained by the Weekly News after a Freedom Of Information request was submitted to the council.

The figures cover the financial years from 2011-12 to 2015-16 and shows that a total of £1,725,520 was stolen.

For the first year £387,322 was reported stolen, with £340,643 and £383,432 in 2012-13 and 2013-14 respectively. The figure dropped in 2014-15 to £359,111 and £255,012 in 2015-16.

Numbers for the current financial year were requested, but the Department For Work And Pensions took over responsibility from the council for investigating housing benefit fraud in August 2015.

The council also revealed in the request that more than 2,000 referrals were received for benefit fraud over the time period.

The number of reports dropped in each year from 593 in 2011-12 to 487 in 2012-13. A total of 474 referrals were received in 2013/14, with 430 in 2014-15 and 94 in 2015-16.

Cllr Mike Wharton, Halton Borough Council’s executive board member for resources said: “The council receives housing benefit fraud referrals from a variety of sources including the general public. Up until August 2015 the council investigated housing benefit fraud. However, since this date responsibility has passed to the Department For Work And Pensions and referrals are now passed direct to this Government department.

“The council continues to place great importance upon detecting housing benefit fraud, as indicated by the fraudulent overpayments it has uncovered over recent years, to ensure that only those who are correctly entitled to receive housing benefit do so and the public purse is not defrauded.”

Note this is only the fraud the council was aware of, so there will have been more.

5 Jan 2017

Black Country benefit fraud

Over £6.5 million worth of benefit fraud was uncovered in the Black Country and South Staffordshire by Department of Work and Pension(DWP) investigators in 2016.

And that did not include minor fiddles, each involving £2,000 or less, which are estimated to have added millions more to the total value of the blitz.

Cases handled by DWP investigators resulted in 182 successful prosecutions while there were also 104 administrative penalties issued.

These allow those involved in frauds of less than £5,000 to avoid going to court by paying back the stolen benefit money with a surcharge of up to half that amount added to the repayment figure.

Almost 1,500 people living in the area were investigated.

So a very low proportion led to penalties.

Officials are also doing more than ever with Proceeds of Crime legislation to claw back the money pocketed by cheats.

People like 67-year-old trickster Thomas Wilkinson from Bournes Hill, Halesowen, who pocketed benefits by claiming to be unable to walk very far as a result of osteoarthritis – while appearing on stage throughout the country at £250-a-time in a Blues Brothers tribute act for seven years before the racket was uncovered. He was given an eight-month prison sentence suspended for two years and was then ordered to repay almost £22,000 within three months or be locked up for seven months.

Scheming mother of two Wendy Robinson, 52, admitted a near £100,000 ten year benefits theft and received an 18 month jail sentence suspended for two years because of her ill health after she appeared at Birmingham Crown Court in a wheelchair. She was among those caught out by a specialist surveillance team recently added to the DWP investigations team in Central England.

Another was 72-year-old conman Paramjit Randhawa, from Goldthorn Park, who pocketed disability living allowance while claiming to be scarcely able to walk 10 metres until pictured striding along a treadmill for 50 minutes during a keep fit session that also included squat thrusts and leg raises, at a gym in Bentley Bridge. He was given eight months in prison suspended for 18 months and later ordered to repay more than £20,000.

There are three DWP offices in the Black Country, where almost £5.2 million frauds were uncovered and one in South Staffordshire where over £1.6 million worth of scams were uncovered.


6 Dec 2016

Benefit fraud in Northern Ireland

The cost of fraud in Northern Ireland's benefits system has reached its highest level for more than a decade. Taxpayers shelled out £45m in the last year to cover payments drawn illegally - around £800,000 every week.

The bill for fraudulent claims has climbed to an 11-year high, auditors said. An investigation found "significant levels of estimated fraud and error" in housing benefit claims.

The shocking details are revealed in a report by the Northern Ireland Audit Office. It reports on the results of financial audit work undertaken on the 2015-16 accounts of Government departments and other public sector bodies. One of its most shocking findings concerns Northern Ireland's ballooning benefits bill.

The total expenditure on benefits in the 12 months to April was £5.8bn - a staggering £15.8m a day. That is up £100m from £5.7bn in the previous financial year.

On all benefits, except the State Pension, the former Department for Social Development estimated overpayments due to fraud and error of £75.3m. This has fallen from last year - mainly due to less money being lost through official error.

However, the amount lost through fraud has spiralled, Auditor General Kieran Donnelly warns.

His report states: "From an overall departmental point of view, the estimated levels of overpayments and underpayments due to fraud and error were 1.7% this year compared to 2% in 2014-15. Customer error and underpayments due to official error have fallen significantly. But the estimated levels of customer fraud in the benefit payments made by the Social Security Agency, Northern Ireland Housing Executive (NIHE) and Land and Property Services (LPS) increased to £45.1m and is now at its highest level since 2004-05."

The NIHE was a particular concern, with "significant levels of estimated fraud and error in housing benefit expenditure" reported.

Robin Swann, who chairs Stormont's Public Accounts Committee, said worries over the extent of benefit fraud have been raised in a series of Audit Office reports.

"The auditor has been consistently concerned with benefits," he said. "We are in the middle of a whole reform of the benefits system at the minute, so it is how that actually works out to countering fraud. On benefit fraud the numbers are actually down on previous years, but the level of customer fraud has increased. The committee will get a briefing on this report at our first meeting back in January."

The report says: "Despite the initiatives used by SSA (Social Security Agency) to counteract fraud and error, the level of overpayments remained at 1% of total benefit expenditure, the same as in 2014 against a rise in annual benefit expenditure of 2.1%. SSA continues to face a significant challenge to administer a complex benefits system to a high degree of accuracy in a cost effective way. The level of estimated fraud and error remains significant - out of total benefit expenditure (other than State Pension) of £3bn, estimated over and under payments total £60.2m."

They don't go looking hard for it, because they don't want to find too much.

In terms of LPS, the report found total housing benefit expenditure administered by it in 2014/15 was £42.3m. "Within this, the levels of fraud and error estimated by DSD's Standards Assurance Unit amounts to £8.6m in 2014/15," Mr Donnelly's report says.

This is 20%!

"I also reported on the level of outstanding ratepayer debt at year end, and the amount written off in year. The ratepayer debt outstanding at March 31 2015 was £156.4m, compared to £162.1m at March 31 2014. The amount written off in 2014-15 was £25.3m compared to £31.6m in 2013-14."

The Department for Communities said it was committed to tackling fraud and error and would highlight its success during 2015 in reducing both loss and underpayments, due to benefit fraud and error, from the levels reported in 2014.

"Nonetheless, the department recognises fully that any level of loss, while at 1.4% of benefit expenditure, still represents a significant loss of public funds," it said. "The department is determined to ensure the focus and investment in driving high levels of accuracy and low levels of fraud continues and the integrity of the benefit system, designed to help those in need, is protected."


12 Jul 2016

N E Lincs reports on fraud

Two members of staff have been dismissed from North East Lincolnshire Council for misconduct.

No more details were released in the Anti-Fraud and Corruption report, which also revealed overpayments in benefits of more than £550,000.

Covering the last financial year, the report - the eighth of its kind - sets out the council's policy on dealing with those who try to steal money, both from inside and outside of the organisation.

With responsibility for the investigation of Housing Benefit fraud transferring to the Department for Work and Pensions from November 2015, the Council has taken the opportunity to shift its focus to other areas of potential fraud , including council tax discounts and the blue badge scheme.

Between April 2015 and March 2016, enforcement action has included:

  • Initial investigations into Council Tax discount fraud identifying 13 cases of fraud or error from 23 completed investigations, resulting in on-going liabilities being increased by a total of £3,888.19 (from November 2 2015 to March 9 2016). Investigations also increased past Council Tax liabilities by a total of £18,149.64 increasing the amount of Council Tax the Council is able to collect.
  • A Council Tax investigation established that the owner of a property had evaded Council Tax for the property he had lived in since it was purchased, by claiming he rented it to someone else who claimed Council Tax Support to pay the liability. Investigation established that the owner had never left the property and therefore, they received a bill for over £12,000 in unpaid council tax. In addition, the Council stopped paying Council Tax Support to his tenant.
  • Another Council Tax investigation into the circumstances surrounding an individual's claim that he lived on his own has resulted in him receiving a bill for more than £3,000 in Council Tax. The individual claimed that he had lived alone and as such was entitled to the 25 per cent reduction on their Council Tax bill. The investigation established that the individual had been living with his partner for more than 11 years but had never declared this to the Council.
  • Investigation of Housing Benefit fraud and Council Tax Reduction Scheme fraud resulting in the successful prosecution of 29 individuals (including 14 joint prosecutions with the DWP) up to November 2.
  • Additionally, a further 12 individuals were offered and accepted either an Administrative Penalty or a Simple Caution as an alternative to prosecution;
  • Uncovering £236,283.10 of overpaid benefit (including DWP benefits) from the 41 investigations referred to above;
  • Benefit fraud investigation also uncovering a further £320,133.23 of overpaid benefits (including benefits administered by DWP) where no prosecution or sanction was sought up to November 2. Action is taken in all cases to recover these losses, either through deductions from benefit, or through the Council's debt recovery strategy.
  • Initial investigations into Council Tax discount fraud identifying 13 cases of fraud or error from 23 completed investigations, resulting in liabilities being increased by a total of £3,888.19 (to March 9). Investigations have also increased past Council Tax liabilities by a total of £18,149.64.

The outcome of one case has led to a policy regarding Blue Badge enforcement being drafted by the Council.


13 Jan 2016

Telford & Wrekin publicises its anti-fraud drive

About £700,000 has been clawed back by Telford & Wrekin Council by cracking down on people who have been fraudulently claiming benefits. (h/t Dave)

The council checked the circumstances of thousands of benefits claimants across the borough and realised hundreds of people were being paid too much. They blame the problem on claimants failing to report a change in circumstances that would reduce benefit payments.

Now people claiming too much benefit have been warned that they will be caught and forced to repay the money they owe.

Since December 2013, more than 7,600 claimants have been reviewed in Telford, saving the £700,000, and officers are continuing to check claimants at a rate of 600 per month. Shropshire Council is also carrying out a similar review, although it was unable to provide figures. Staff from the Benefits Service say every claimant will eventually be reviewed to ensure that no-one is cheating the system.

Richard Atkins, of Telford & Wrekin Council, said:
If we are paying out too much benefit for too long then it is our taxpayers that take the financial hit. We have a responsibility to look after every penny.
£150,000 has been saved over two years in council tax support alone. New rules will soon cap council tax benefit to £20,000, which Telford & Wrekin Council says will save it at least a further £241,000 in payments.

In September, the council launched a scheme that encouraged residents to report anyone they suspect of claiming benefits they were not entitled to. Fraud reporting tools were added to the council’s Everyday Telford app in an attempt to get more people to come forward and potential fraudsters.

And in March 2014, the council also held an amnesty for people to come forward about any council tax benefits or discounts they have been mistakenly claiming.

Telford & Wrekin Council said it must make £35 million of cuts from its budget over the next three years, after already cutting its budget by £70 million since 2010. That means that by 2019 total cuts will amount to more than £100 million.