Income Support Fraud

Oral Answers to Questions — Work and Pensions – in the House of Commons at 2:30 pm on 23 April 2007.

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Photo of Greg Hands Greg Hands Conservative, Hammersmith and Fulham 2:30, 23 April 2007

What plans his Department has to strengthen its mechanisms for tackling income support fraud.

Photo of John Hutton John Hutton Secretary of State, Department for Work and Pensions, The Secretary of State for Work and Pensions

In October 2005, we published new proposals for reducing benefit fraud. Fraud in income support is now at the lowest level since figures were recorded: down from an estimated £550 million in 1997-98 to around £200 million in 2005-06. That equates to a drop from 6.7 per cent of income support expenditure to 2.1 per cent.

We are determined to make further reductions in fraud, for example, by trying new data-matching initiatives with credit reference agencies.

Photo of Greg Hands Greg Hands Conservative, Hammersmith and Fulham

Everybody living in Hammersmith and Fulham—except, it seems, the Secretary of State—is baffled by the unwillingness of the Department to investigate past and present claims for income support and other benefits by former local resident, Abu Hamza, and his family. Despite owning various properties, receiving rental income and buying a flat in Hammersmith with £75,000 in cash, there has never been a DWP investigation. Will the Secretary of State tell us why?

Photo of John Hutton John Hutton Secretary of State, Department for Work and Pensions, The Secretary of State for Work and Pensions

My understanding is that inquiries have been made into whether fraud or criminal activity has taken place. We have not found any evidence yet.

Photo of David Davies David Davies Conservative, Monmouth

Does the Minister agree that if he wants to find examples of fraud or criminal activity, he could try to ensure that the DWP runs proper checks to ensure that those claiming income support are not among the thousands who have disappeared from open prisons over the last few years and are not living out in the wild somewhere like Australian bushmen, but are back at their home addresses, no doubt living off the benefits that they received before they were convicted of breaking Laws in the first place?

Photo of John Hutton John Hutton Secretary of State, Department for Work and Pensions, The Secretary of State for Work and Pensions

I do not know whether the hon. Gentleman heard the answer I gave to Mr. Hands, but fraud in respect of income support is falling sharply and we are determined to make further progress. In that regard, I am happy to say that this Administration has a far better record of dealing with these problems than the Administration to which the hon. Gentleman lent his support.

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