Benefit fraud hotline defended despite 85% of tip-offs proving unfounded

By The Press Association29th February 2016News EnglandBenefits, News England, Welfare / Benefits, Welfare Reform

Welfare officials have defended using the public to root out suspected benefit cheats despite figures showing the vast bulk of tip-offs have proved unfounded.

More than 1.6 million cases were opened by the Department for Work and Pensions between 2010 and 2015 as a result of tip-offs submitted online and via a hotline, the Observer said.

But 85% of the more than one million cases closed in that period threw up insufficient or no evidence, a request for data under the Freedom of Information Act established.

Liberal Democrat leader Tim Farron told the newspaper the “alarming” proportion “shows the system has failed”.

He added: “It should be the DWP which investigates benefit fraud, not your closest neighbours.

“This McCarthy-style reporting of benefit fraud is another example of the Government’s desire to turn people against the welfare state and to treat sick and disabled people as second-class citizens.”

But the DWP said public information plays a valuable role, saving the taxpayer around £180 million last year.

“Calls to the fraud hotline are vital – we take benefit fraud very seriously so whenever we receive an allegation we investigate and, if necessary, prosecute and recover overpaid benefits,” a spokesman said.