The government have launched a small pilot in 6 areas to highlight fraud. Methods include posters, newspaper adverts, Facebook adverts and letters to claimants – urging people to report suspected beneft fraud or changes to their circumstances.
Minister for Welfare Reform Lord Freud said 'It is only a small minority who commit fraud – but it costs the country over £1bn a year.' The 6 pilot locations are Southwark, Blackburn, Hounslow, Blackpool, Epping Forest and Cardiff.
Latest statistics show overpayments amount to £3.5 billion per year-
● £1.2 billion, of total beneft expenditure is overpaid due to fraud
● £1.6 billion, of total beneft expenditure is overpaid due to claimant error
● £0.7 billion, of total beneft expenditure is overpaid due to offcial error
However as part of ensuring that clients get their legal entitlement let's not forget that these fgures are dwarfed by the amount that is underclaimed each year just in means tested benefts- £16 Billion.
Learn how to spot beneft underclaiming-
Click here for our updated Introduction to Welfare Benefts 2014 course.