The Department for Work and Pensions (DWP) has confirmed they will be looking for two main things when checking bank accounts in 2024.
The DWP now has the power to inspect bank accounts in order to crack down on fraudulent benefit claims, reports Birmingham Live. This controversial rule is part of the Data Protection and Digital Information Bill, which is in the process of going through the House of Commons and Lords right now.
The Government body has said that its main priority is to check bank balances that exceed the capital limits. People will not be able to claim Universal Credit if they have over £16,000 in money, savings and investments, officials have confirmed.
The DWP will also monitor if claimants are staying overseas for longer than the current rules allow, ahead of the new rules and restrictions being launched.
The banks being checked include Bank of Scotland and Barclays Bank, alongside the following: Monzo Bank Limited, Metro Bank, Lloyds Bank, HSBC, Halifax, National Westminster Bank (NATWEST), Nationwide Building Society and Santander.
As well as the above, the Starling Bank, Co-Operative Bank, The Royal Bank of Scotland (RBS), Yorkshire Bank and TSB Bank will also be checked. Currently, the DWP has the power to investigate any bank account where fraud is suspected, and HMRC also shares banking data with the DWP each year.
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The new rules will go considerably further, as they will compel banks and building societies to monitor all those who claim benefits. They said: "DWP staff will follow the usual business processes when looking into any cases, taking account of circ*mstances and wider vulnerabilities before deciding on a course of action."
Civil liberties organisation, Big Brother Watch, says: "The government should not intrude on the privacy of anyone’s bank account in this country without very good reason, whether a person is receiving benefits or not. People who are disabled, sick, carers, looking for work, or indeed linked to any of those people should not be treated like criminals by default.
"Such proposals do away with the long-standing democratic principle in Britain that state surveillance should follow suspicion rather than vice versa.
"It would be dangerous for everyone if the government reverses this presumption of innocence. This level of financial intrusion and monitoring affecting millions of people is highly likely to result in serious mistakes and sets an incredibly dangerous precedent."
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