Tuesday, December 3, 2024

DWP Implements Anti-Fraud Measures Allowing Surveillance of Landlord, Caregiver, and Parent Bank Accounts

The Department of Work and Pensions (DWP) is set to receive new powers under the proposed Data Protection and Digital Information Bill. These powers would allow the DWP to monitor the bank accounts of landlords, parents, carers, and partners of individuals receiving state benefits, including the state pension. The aim of the bill is to reduce overpayments and fraudulent claims, with an estimated £600m in savings over five years. However, concerns have been raised by members of the House of Lords that the wide-ranging surveillance powers could deter landlords from renting to benefit recipients and banks from providing accounts to those on benefits. The DWP has provided reassurances that the powers will be used in a limited and proportionate way and that a code of practice will be implemented. Despite these reassurances, the wording of the bill has raised concerns that it could be used to obtain intrusive financial information on benefit claimants. Additional concerns include the potential for errors in the monitoring system, lack of oversight and safeguards, and the possibility of banks refusing to provide accounts to those on benefits. An open letter signed by MPs and members of the Lords argues that the proposed powers are highly intrusive and risk mistaken identifications and the wrongful suspension of benefits. The Information Commissioner’s Office (ICO) has also raised concerns about the broad wording of the bill. The DWP has stated that the new powers are not surveillance and will only require minimal and relevant information to be provided by banks. They maintain that the measures will not impact the majority of claimants who comply with benefit entitlement rules.