Benefits - fraud investigation

Maidstone Borough Council is committed to ensuring that Housing and Council Tax Benefit is paid only to those people who are entitled to it.

The majority of Housing and Council Tax Benefit claims are genuine and that the vast majority of our customers are honest. 

However, benefit fraud costs millions of pounds every year and it is those who are in real need that are most affected. The council must try and stop any fraud from taking place, detect those who are making false claims and reduce the number of fraudulent claims made.

We have a highly trained Investigation Team who deal with all cases where abuse of the benefit system is suspected, but we also need information from the community to help us combat benefit fraud.

We may also get information from certain third parties, or give them information to:

• Prevent or detect crime;
• Protect public funds; and
• Make sure the information is correct.

These third parties include government departments, local authorities and private-sector companies such as banks, organisations that may lend money and companies that assist us in fraud detection and prevention such as Credit Reference Agencies.

DWP currently has a contract with Credit Reference Agencys to carry out data matching for each Local Authority to identify undeclared Living Together benefit fraud.

The contract stipulates that no electronic ‘footprint’ will be left on individual customer’s credit accounts. This means that the data matching will not affect people’s credit ratings. The contract also specifies that Credit Reference Agencys must not use the DWP data for any other purposes.

How to report fraud

If you think someone is getting benefits that they are not entitled to, let us know, complete our online form and help us put a stop to benefit fraud.

What happens next?

The Investigations Officers will normally carry out a great deal of their investigation, evidence and information gathering before visiting the person claiming benefit. In certain situations, the person claiming benefit will be invited to attend an interview at the council offices. This may be tape recorded and held under caution in accordance with the Police and Criminal Evidence Act 1984. If there is sufficient evidence, further legal action may be taken against the person. This may result in one of the following three outcomes:

• A Formal Caution - This is a simple caution and recorded by the Department for Work and Pensions on a National Database.
• An Administrative Penalty - This is a fine of 30% of the overpayment of benefit arising from the offence.
• A Prosecution - This is when the case is heard before a criminal court, either a Magistrates or Crown Court. This is a considered form of action when the case is regarded as of a serious nature, or when an Administrative Penalty or simple caution has not been accepted.