The Department for Work and Pensions (DWP) has released a fresh update on its plans to tackle fraud and error in the benefits system. The DWP is intensifying its efforts against benefit fraud due to losing millions to scammers during the Covid crisis.
The new Fraud, Error and Debt Bill is set to be presented to Parliament “early this year,” according to DWP Minister Andrew Western. This comes as AI tools will be utilised to identify fraud and error within the benefits system in an attempt to clamp down on criminal activity.
However, despite the use of technology “the final decision on whether someone receives a welfare payment is always made by a human”, Mr Western stated. Debbie Abrahams, Chair of the Work and Pensions Committee (Labour), pointed out that a recent Freedom of Information (FOI) request “indicates that AI tools used to detect DWP fraud are biased and disproportionately discriminate against people by age, disability, marital status and nationality”.
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The MP for Oldham East and Saddleworth asked: “What assurances can the Minister give that the procurement and use of such tools will be covered by strict governance standards, including tests for fairness? “.
In a statement, Mr Western acknowledged the issue, saying: “We face a significant challenge, with fraud and error costing the Department almost £10billion a year. It is right that we look to utilise all available tools to tackle it. However, I understand her concerns, although I would remind her that the final decision on whether someone receives a welfare payment is always made by a human.”
He added: “That is the most robust safeguard that we can have in place – although of course it sits alongside a broader suite.”
Labour/Co-op MP Sally Jameson brought up the £35bn lost to fraud and error since the pandemic began, questioning the DWP’s strategy for recovering these funds. Mr Western replied: “The Fraud, Error and Debt Bill is due to come to the House early in the new year. This Government are serious about tackling fraud; it is just a shame that we inherited the mess we did.”