Welfare Fraud

7. What steps she is taking to help tackle fraud in the welfare system.

The Government have committed to significant measures to counter welfare fraud, error and debt. This is the biggest package of such measures in recent history, and the Office for Budget Responsibility has estimated that it will deliver an additional £9.6 billion of savings over the next five years. The package is underpinned by our Public Authorities (Fraud, Error and Recovery) Bill, which contains a range of new powers to enable us to keep pace with offenders who exploit the social security system.

I think we can all agree that fraud strikes at the heart of the system, kicking away its underpinnings. I hope that the Government will undertake a zero-tolerance approach, unlike in Scotland, where we recently heard that £36 million of benefit money paid out in error is now not to be recovered. Does the Minister agree that that is deeply unfair to taxpayers?

The hon. Gentleman tempts me to encroach on what are legitimately policy questions for the Scottish Government. The policy of this Government is clear and set out in the Bill, but I am grateful to the Cabinet Secretary for Social Justice for continuing to work with me constructively to make the Bill as workable as possible, with alignment where possible, such that if we end up diverging we are still able to ensure that this Parliament does everything it can, and the Scottish Government do everything they choose to do, to bear down on fraud and error.

Does the Minister share my surprise that a Member of the party responsible for more than a decade of rising poverty, record benefit delays, and billions lost to fraud and error is now suddenly concerned about tackling that? Across the House, while we recognise the need to tackle fraud in our welfare system, we should also recognise the huge issue with tax avoidance and evasion—as recently highlighted by the Public Accounts Committee—which requires significant attention.

I very much agree with my hon. Friend. This Government are determined to bear down on tax evasion with 5,000 additional investigators. Wherever we see people ripping off the public purse, whether that is defrauding the Department for Work and Pensions or abusing the tax system, we are determined to bear down on them, and that is what we will do.