• About
  • Advertise
  • Privacy Policy
  • Contact
Saturday, July 12, 2025
  • Login
The Vaultz News
  • Top Stories
  • News
    • General News
    • Education
    • Health
    • Opinions
  • Economics
    • Economy
    • Finance
      • Banking
      • Insurance
      • Pension
    • Securities/Markets
  • Business
    • Agribusiness
    • Vaultz Business
    • Extractives/Energy
    • Real Estate
  • World
    • Africa
    • America
    • Europe
    • UK
    • USA
    • Asia
    • Around the Globe
  • Innovation
    • Technology
    • Wheels
  • Entertainment
  • 20MOBPL2DNew
  • Jobs & Scholarships
    • Job Vacancies
    • Scholarships
No Result
View All Result
The Vaultz News
  • Top Stories
  • News
    • General News
    • Education
    • Health
    • Opinions
  • Economics
    • Economy
    • Finance
      • Banking
      • Insurance
      • Pension
    • Securities/Markets
  • Business
    • Agribusiness
    • Vaultz Business
    • Extractives/Energy
    • Real Estate
  • World
    • Africa
    • America
    • Europe
    • UK
    • USA
    • Asia
    • Around the Globe
  • Innovation
    • Technology
    • Wheels
  • Entertainment
  • 20MOBPL2DNew
  • Jobs & Scholarships
    • Job Vacancies
    • Scholarships
No Result
View All Result
The Vaultz News
No Result
View All Result

Labour’s Fraud Bill Sparks Fears Over Bank Surveillance

March 4, 2025
Lawrence Ankutseby Lawrence Ankutse
in UK
0
The Department for Work and Pensions (DWP) is facing criticism over new legislation that could grant authorities access to private bank accounts

The Department for Work and Pensions office in London

The Department for Work and Pensions (DWP) is facing criticism over new legislation that could grant authorities access to private bank accounts in a bid to crack down on benefit fraud. 

The Fraud, Error and Debt Bill, introduced by the Labour government, is expected to pass later this year, sparking concerns over mass surveillance and potential overreach.

The proposed legislation aims to revive a similar initiative from the previous Conservative government, which stalled due to the general election. If enacted, banks will be legally required to share financial data with the government to help identify fraudulent benefit claims.

RelatedPosts

UK-France Migrant Swap Deal Sparks Outrage

UK-France Migration Deal Awaits EU Green Light

Conservative Party Shakes As Former Chair Defects To Reform

However, critics argue that these new powers could extend far beyond benefit claimants. “It is not just benefits claimants who will be targeted,” warned Jasleen Chaggar, legal and policy officer at Big Brother Watch, during a parliamentary committee session. “It is everyone’s accounts, including yours and mine.” 

She further cautioned that individuals indirectly linked to benefits recipients — such as landlords, guardians, or parents — could also be subject to scrutiny under the proposed measures.

Labour insists the bill will usher in the “biggest fraud crackdown in a generation,” estimating that the reforms will save taxpayers £1.5 billion over five years. The DWP maintains that safeguards will be put in place to protect vulnerable individuals, with trained staff ensuring appropriate use of the new powers. Additionally, oversight mechanisms will be implemented to monitor compliance and prevent misuse.

One of the most contentious aspects of the bill is the introduction of eligibility verification powers. These would allow the DWP to compel financial institutions to provide data on individuals suspected of exceeding the savings threshold for benefits. 

Currently, those applying for Universal Credit must have no more than £16,000 in savings, except under exceptional circumstances. The initial focus of these powers will be on Universal Credit, Pension Credit, and Employment and Support Allowance — benefits that have historically seen high rates of incorrect payments.

Despite assurances from the government, privacy advocates and financial experts have voiced strong opposition to these measures. 

Helena Wood, director of public policy and strategic engagement at Cifas, called the proposed powers “very new and incredibly intrusive.” She warned that they could become a “blanket, phishing-style power” typically reserved for criminal investigations, raising concerns over proportionality and potential abuses.

Disputes Over Parliamentary Oversight

Another point of contention is the lack of a finalized code of practice to govern the implementation of the new surveillance measures. Andrew Western, DWP minister for transformation, defended the decision to delay its publication.

“We are simply not able to bring forward a final code of practice. It would not be possible to do that without knowing what is in the Bill.”

Andrew Western
Andrew Western DWP minister for transformation
Andrew Western, DWP minister for transformation

However, Conservative MP Mike Wood likened this approach to “King Henry VIII powers,” referring to legislative clauses that allow ministers to alter laws without parliamentary approval. The comparison was swiftly rejected by Western, who insisted that the government remains committed to transparency and accountability.

In response to growing concerns, a DWP spokesperson dismissed claims that the bill represents an overreach. “We do not recognise this characterisation of our Fraud, Error and Recovery Bill,” the spokesperson stated. 

The DWP argues that these reforms are essential to protecting public funds, with the bill expected to contribute to wider efforts aimed at saving £8.6 billion by 2030.

As the bill progresses through parliament, the debate over its implications continues. While the government champions it as a necessary step in tackling fraud, privacy campaigners and financial experts warn of potential risks to civil liberties. 

READ ALSO: Concerns Expressed Over Ghana’s Economic Crisis Amid Political Debates

Tags: bank surveillancebenefit fraudDWPLabour governmentprivacy concerns
Please login to join discussion
Previous Post

Dolly Parton’s Husband, Carl Dean, Dies Aged 82

Next Post

Shmyhal Stresses Ukraine’s Role in Peace Process

Sign up for The Vaultz analytic wire

Get weekly news analysis from top editors at The Vaultz and stay informed on trending economic and business issues from across the globe.

Related Posts

IMANI Flags Transparency Gaps in $360 Million World Bank Loan, Loan, Public
General News

IMANI Flags Transparency Gaps in $360 Million World Bank Loan

July 12, 2025
Ewurabena Aubynn
General News

NDC’s Ewurabena Aubynn Secures Historic Victory in Ablekuma North Rerun

July 11, 2025
Minority Decries Violence, Police Inaction in Ablekuma North Rerun, Polling, Violence
General News

Minority Decries Violence, Police Inaction in Ablekuma North Rerun

July 11, 2025
BoG’s Ban on 10 Money Transfer Organisations Sparks Transparency Debate
Banking

BoG Stress Test Uncovers Banks’ Credit Vulnerability Amid Strong Liquidity Defences

July 11, 2025
AU Urges Human Dignity In Corruption Fight
Africa

AU Urges Human Dignity In Corruption Fight

July 11, 2025
Deadly Rush Confirms Fears About Gaza Humanitarian Foundation
Asia

Nearly 800 Killed While Trying To Receive Food Aid In Gaza

July 11, 2025
IMANI Flags Transparency Gaps in $360 Million World Bank Loan, Loan, Public
General News

IMANI Flags Transparency Gaps in $360 Million World Bank Loan

by Silas Kafui AssemJuly 12, 2025
Ewurabena Aubynn
General News

NDC’s Ewurabena Aubynn Secures Historic Victory in Ablekuma North Rerun

by Evans Junior OwuJuly 11, 2025
Minority Decries Violence, Police Inaction in Ablekuma North Rerun, Polling, Violence
General News

Minority Decries Violence, Police Inaction in Ablekuma North Rerun

by Silas Kafui AssemJuly 11, 2025
BoG’s Ban on 10 Money Transfer Organisations Sparks Transparency Debate
Banking

BoG Stress Test Uncovers Banks’ Credit Vulnerability Amid Strong Liquidity Defences

by Stephen M.CJuly 11, 2025
AU Urges Human Dignity In Corruption Fight
Africa

AU Urges Human Dignity In Corruption Fight

by Lawrence AnkutseJuly 11, 2025
Deadly Rush Confirms Fears About Gaza Humanitarian Foundation
Asia

Nearly 800 Killed While Trying To Receive Food Aid In Gaza

by Comfort AmpomaaJuly 11, 2025
IMANI Flags Transparency Gaps in $360 Million World Bank Loan, Loan, Public
Ewurabena Aubynn
Minority Decries Violence, Police Inaction in Ablekuma North Rerun, Polling, Violence
BoG’s Ban on 10 Money Transfer Organisations Sparks Transparency Debate
AU Urges Human Dignity In Corruption Fight
Deadly Rush Confirms Fears About Gaza Humanitarian Foundation
[/vc_row_inner]

Recent News

  • IMANI Flags Transparency Gaps in $360 Million World Bank Loan
  • NDC’s Ewurabena Aubynn Secures Historic Victory in Ablekuma North Rerun
  • Minority Decries Violence, Police Inaction in Ablekuma North Rerun
  • BoG Stress Test Uncovers Banks’ Credit Vulnerability Amid Strong Liquidity Defences
  • AU Urges Human Dignity In Corruption Fight
The Vaultz News

Copyright © 2021 The Vaultz News. All rights reserved.

Navigate Site

  • About
  • Advertise
  • Privacy Policy
  • Contact

Follow Us

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Top Stories
  • News
    • General News
    • Education
    • Health
    • Opinions
  • Economics
    • Economy
    • Finance
      • Banking
      • Insurance
      • Pension
    • Securities/Markets
  • Business
    • Agribusiness
    • Vaultz Business
    • Extractives/Energy
    • Real Estate
  • World
    • Africa
    • America
    • Europe
    • UK
    • USA
    • Asia
    • Around the Globe
  • Innovation
    • Technology
    • Wheels
  • Entertainment
  • 20MOBPL2D
  • Jobs & Scholarships
    • Job Vacancies
    • Scholarships

Copyright © 2021 The Vaultz News. All rights reserved.