A CRACKDOWN on benefit fraud is taking place in Hillingdon this month.

The Department for Work and Pension's Fraud Investigation Service, HMRC and the council will encourage residents to highlight suspected benefit fraud by having a single point of contact where they can report concerns.

Corby, Glasgow and Wrexham have also been invited to participate in the pilot scheme and it is hoped to reclaim some of the predicted £5.3billion lost across the UK to tax credit and benefit fraud.

Latest figures from the DWP show the estimated value of overpayments in benefits is £3.2bn while the estimated value of underpayment has risen this year to £1.3bn.

Fraud can include staff carrying out private jobs during work time, staff giving unfair advantage to particular contractors, false insurance claims, false council tax discount benefit claims and sub-letting of council housing.

Businesses are also targets of fraud and internet crime. Research carried out by the National Fraud Authority shows that once a business’ annual turnover reaches £20 million, there is a marked spike in fraud risk.

An example of welfare misuse that is increasingly in the spotlight is social housing tenancy.

The National Fraud Authority (NFA) estimates a £900million annual loss and reduced availability of social housing for those in acute need across the UK.

The NFA places an average UK value of £18,000 on each recovery – equating to an immediate result of around £500,000 for Hillingdon and its citizens.

Hillingdon’s Cabinet Member for Social Care, Health and Housing, Cllr Philip Corthorne, says people who illegally sub-let local authority tenancies are denying residents in real need of a home.

He added: “In Hillingdon, this is something we will not tolerate and anyone caught faces losing their property for good.”

The borough has adopted a zero tolerance attitude in the area, and this applies equally to employees, members, contractors, suppliers, residents, service users, partners and any other external organisation the council works with.

There is also a whistle-blowing policy for its employees and contractors working for the borough on council premises. 

The purpose of this policy is to encourage employees and others to feel confident in raising serious concerns through clear avenues.

Garry Coote, Hillingdon’s Corporate Fraud Manager, said: “Fraudsters are stealing from honest taxpayers and we simply will not tolerate it.

“They could face court action and even imprisonment, it's something that's not taken lightly."

In the period April-September, the council has had 14 successful prosecutions, cautioned 14 people and issued 11 fines.

Though a vast amount of focus goes on catching perpetrators of benefit fraud, there also appears to be a lack of awareness about unclaimed benefits by people who are eligible.

There are a number of reasons why people do not claim. Many are simply unaware of the help, some consider the system to be daunting and some believe the amount provided will not be worth the trouble.

However, research shows that many are missing out on substantial support that can make a difference to their lives.

The DWP and HMRC have found that over £19 billion in welfare benefits goes unclaimed every year, including £6.48 billion in child tax credits and working tax credits.
A number of charities work on spreading the word.
Turn2us runs campaigns and works with advice charities such as Advice UK and the Citizens’ Advice Bureau to help people claim. 

Research shows that 60% of people living in low-income households in London are not claiming any means-tested benefits for which they could be eligible.

In addition, 25% of those on low incomes in London believe those claiming have the right to do so, while 32% hold the opinion that claimants need to help themselves, as opposed to relying on state support.

A total of 20% revealed they would rather cut back on essentials, such as food, than claim benefits. Much of this is due to stigma attached to claiming benefits.

Alison Taylor, Director of Turn2us, said: “More needs to be done in terms of raising awareness and reducing some of the negative perceptions around claiming.”

A survey by Turn2us revealed that, although more than nine out of ten pensioners were aware of Pension Credit, more than half did not believe they qualified.

Six months prior to the study, a third had difficulties covering their housing costs with more than half struggling to buy clothes for themselves.  One in ten had to miss one of the recommended three meals a day.

Alban Hawksworth, welfare benefits specialist at Turn2us, says lack of awareness about entitlement leaves people to quietly struggle on, making compromises on essentials they would not otherwise dream of making.

Sometimes, their problems become so severe they are no longer able to cope.   

With the right measures in place, councils can reduce benefit fraud as well as make sure those who have the right to claim are able to do so.

Hillingdon’s Cabinet Member for Finance, Property and Business Services, Cllr Jonathan Bianco, said: "Hillingdon has a successful track record in prosecuting benefits cheats, and we are pleased the council has been selected to pilot the Single Fraud Investigation Service.”

If you suspect someone of benefit fraud, call the confidential hotline on 0800 3898313.

For more information on welfare support and entitlements visit www.turn2us.org.uk or https://www.gov.uk/