DWP to ‘spy’ on pensioners’ financial institution accounts because it cracks down on profit fraud
The DWP is set to roll out a new policy that will see the bank accounts of thousands of low-income pensioners scrutinised in a bid to crack down on benefit overpayments
Thousands of low-income pensioners are bracing themselves as the Government gears up to snoop on their bank accounts in a crackdown on benefit overpayments.
The Department for Work and Pensions (DWP) is setting its sights on those pocketing Pension Credit, Universal Credit, and Employment and Support Allowance, with plans to peep at their financial transactions without any initial fraud suspicions.
This controversial move has sparked an outcry over privacy invasion and the harsh treatment of society’s most vulnerable. Campaigners are up in arms, slamming the policy as a guilty-until-proven-innocent approach that could lead to a surveillance nightmare, rampant errors, and dire repercussions for those already in a financial bind.
For the first time ever, the DWP will unleash automated systems to sniff out “irregularities” in transaction data, which might see benefits yanked or demanded back. And if someone’s found not to qualify for one benefit, say Pension Credit, the DWP might start poking around their eligibility for other aids like Housing Benefit, potentially unleashing a domino effect of cuts, as reported by the Liverpool Echo.
While ministers are banging the drum about “human oversight” being involved at every step, critics aren’t buying it, remaining sceptical amidst the looming spectre of Big Brother-style scrutiny.
Disability Rights UK has raised the alarm that privacy is under attack, with concerns that upcoming policies could chip away at essential freedoms. They blasted: “Using algorithms to trawl a large number of accounts at once removes our right to be presumed innocent. False positives could leave innocent claimants without vital income.”
Civil liberties campaigners from Big Brother Watch are also up in arms, warning of serious repercussions: “This opens the door to mass surveillance. Vulnerable people could be wrongly targeted and have their lives turned upside down.”
The Department for Work and Pensions (DWP), however, insists that this controversial measure is all about protecting the public purse, aiming to slash fraud and error which reportedly cost a hefty £8.3 billion last year.
Notably shielded from these fresh controls is the state pension – a move some see as savvy politicking to dodge backlash. Still, activists highlight little comfort for the older crowd relying on extras like Pension Credit to get by.
Following the announcement, there has been a scramble for Pension Credit, with around 50,000 new claims granted since last summer, hinting at the growing financial desperation amid the soaring cost-of-living crisis.
And in benefit news breaking this month, Pension Credit payouts jumped up from £332.95 to a more generous £346.60 per week for couples, translating to a valuable £4,300 a year boost for recipients.
The DWP insists that the new protocols will not hinder the processing of new claims, highlighting that 78% of them are reportedly handled within 50 working days. However, with looming banking scrutiny, there’s a worry among experts that many eligible seniors may be too frightened or confused to seek help.
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