DWP issues NEW statement over bank account checks and says 'that's false'

The Labour Party government has been urged not to resurrect Conservative Party plans to tackle welfare fraud with snooping on bank accounts.
-Credit: (Image: Reach Publishing Services Limited)


The Department for Work and Pensions plans to monitor bank accounts have been branded a "snooper's charter" by critics. The Labour Party government has been urged not to resurrect Conservative Party plans to tackle welfare fraud with snooping on bank accounts.

Disability rights, poverty, pensioner and privacy groups have written to Liz Kendall, the secretary of state for work and pensions. They said requiring banks to scan accounts for suspicious behaviour would be a severe “intrusion into the nation’s privacy, with potentially punitive consequences for vulnerable individuals”.

Such mass financial surveillance powers would be “disproportionate”, according to the signatories of the letter to Ms Kendall, which included leaders of groups like Disability Rights UK, Age UK, Privacy International, Child Poverty Action Group and Big Brother Watch.

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The letter warns: “Imposing suspicionless algorithmic surveillance on the entire public has the makings of a Horizon-style scandal – with vulnerable people most likely to bear the brunt when these systems go wrong. Pensioners, disabled people, and carers shouldn’t have to live in fear of the government prying into their finances.”

The DWP rejected the concerns raised by campaigners, saying: “These claims are false.” A spokesperson said: “These powers will be used appropriately and proportionately through robust, new oversight and reporting rules, and our staff will be trained to the highest possible standards.

“The information provided by banks is unrelated to DWP algorithms and any signals of potential fraud will always be looked at comprehensively by a member of staff.” But Labour’s new bill could compel banks and other third parties to trawl the accounts of the entire population to target welfare recipients for monitoring.

The new Bill was confirmed last week - sparking widespread fury and widespread concern ahead of a planned rollout and new rules for banks up and down the country.