Overview
- The Public Authorities (Fraud, Error and Recovery) Bill would allow the DWP to issue eligibility verification notices requiring banks to provide specified account indicators for means‑tested benefits.
- DWP guidance says no transaction data or spending details will be accessed and that any flagged accounts would trigger further inquiries rather than automatic decisions.
- The legislation has passed the Commons and is in the House of Lords, with the report stage scheduled for 15 October and the possibility of amendments before Royal Assent.
- Pensioner group Silver Voices brands the proposals draconian and warns they could deter Pension Credit claims, citing fears of investigations, frozen payments or account recoveries.
- DWP factsheets outline direct deductions and possible driving bans for persistent non‑repayment, forecast £1.5bn in savings over five years, and indicate a phased rollout from April 2026 if enacted.