Overview
- The Department for Work and Pensions published the Eligibility Verification Measure and an accompanying Code of Practice on Friday, June 5, 2026, setting out how banks would identify accounts that meet predefined eligibility indicators and report flags to DWP.
- The measure will first cover Universal Credit, Pension Credit and Employment and Support Allowance claimants and the Code cites examples such as accounts holding more than £16,000 for Universal Credit as an indicator banks might flag.
- The Code requires banks to apply eligibility tests inside their own systems and says they may only return limited information such as account details, names, dates of birth and an explanation of how an account met an indicator.
- The DWP forbids banks from sharing transaction histories, spending data or special-category data and says no searches for named claimants will be requested, with a small 'Test and Learn' pilot planned before any wider rollout.
- Public concern has coalesced around a Parliamentary petition by Fionnuala Donnelly that raises GDPR and vulnerability worries and remains open until 25 September 2026 with 10,000 signatures triggering a government response and 100,000 possibly prompting parliamentary consideration.