DWP will take money directly out of people's bank accounts under new powers

DWP is primed to lift money directly out of benefit fraudsters' bank accounts and payslips.

The Department for Work and Pensions will DIRECTLY lift money from claimants' bank accounts under new powers amid a fresh anti-fraud crackdown. The DWP is primed to lift money directly out of benefit fraudsters' bank accounts and payslips.

It comes as Labour Party minister Liz Kendall vows to update department's 'absurd' lack of investigatory powers. Ms Kendall has vowed to update her department's 20-year-old powers branding their current investigatory capacities as 'absurd'.

She said her inspectors we're struggling to 'keep pace' with fraudsters duping the state, the Telegraph reports. Benefit fraud investigators will soon be able to recover debts of those who have overclaimed - directly from their bank accounts.

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The powers are separate from DWP staff being given the power to compel banks to hand offer details over benefit claimants' earnings. Ms Kendall said: "We're in an absurd situation where DWP's powers have not been updated for 20 years, meaning fraudsters have new ways of taking public money, and we need to keep pace with them

"My team are still, in 2024, sending letters to gather evidence for those suspected of welfare fraud, slowing them down to snail's pace when they could be shutting down serious fraud cases." Silkie Carlo, director of Big Brother Watch, told the Telegraph: "This blank cheque to force private companies to snoop and report on the country's poorest citizens to the state is intrusive, excessive and will create a culture of fear among millions of people claiming benefits.

"For a Labour government to introduce tough investigatory powers more typical of a counter-terror context to Britain's welfare system is an alarming attack on privacy and yet another assault on the poor." It comes months after five Bulgarian fraudsters who raked in £54million from Britain's biggest ever benefit scam were jailed.

The five were jailed for more than 25 years last May.