Overview

• The Public Authorities (Fraud, Error and Recovery) Bill would let the DWP request bank data, require banks to flag suspicious activity, enable direct recovery from accounts, and give investigators search-warrant and device‑seizure powers, with officials stressing no direct account access and human decision-making on entitlement.
• Three PIP-focused measures have been confirmed: tougher checks when claimants change personal details such as bank accounts, awareness sessions for case managers and healthcare professionals, and stronger identity and verification at entry to the system.
• The DWP says it has recruited 5,000 additional investigators to pursue welfare fraud, error and debt, with ministers also vowing to bear down on tax evasion.
• Official figures show £9.5bn in benefit overpayments in 2024/25 and £330m lost in PIP, and the department cites £1.5bn in savings from the bill over five years alongside an OBR estimate of about £9.6bn from wider reforms.
• Charity Turn2Us cautions that the fraud-focused approach could deter legitimate claims and points to data indicating only 2.8% of overpayment spend was due to fraud in the year to 2024.