Taxpayers forking out eye-watering £25MILLION-a-week to pay for benefits cheats’ claims

Benefits fraudsters who conceal their savings and assets are draining more than £25million from the public every week, according to Department for Work and Pensions figures.

The data reveals that claimants who failed to disclose cash, investments and other funds hidden in their accounts extracted a record £1.325billion from the welfare system during the last financial year.

This represents a surge of more than a third compared to four years ago, when the figure stood at £982million in 2021-22.

Universal Credit accounted for the bulk of the losses, with £1.04bn attributed to undeclared savings and capital.

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He argued the government had demonstrated an inability to tackle a system being systematically abused.

"Labour has shown it is incapable of getting a grip on a welfare system that is being exploited on an industrial scale," he added.

The Reform UK chairman pledged his party would clamp down on fraudulent claims and ensure taxpayer funds reached only those with genuine need.

Shadow Work and Pensions Secretary Helen Whately condemned the government's record on tackling welfare abuse, warning that billions lost annually to fraud was eroding confidence in the benefits system.

"Billions of pounds of taxpayers' money is lost to benefit fraud each year. People are abusing and gaming our welfare state, and this undermines public trust in it," Ms Whately said.

She criticised Labour's performance across multiple fronts after two years in power.

"After two years in office, Labour is failing on welfare reform, failing on welfare savings and so far they have been failing to stop welfare fraud too," the shadow minister added.

Ms Whately insisted the Conservatives would make difficult decisions the current government was avoiding, pledging £23 billion in savings to protect the welfare state for those genuinely in need.

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The scale of the problem is illustrated by individual cases brought before the courts.

Susan Pearson, 58, fraudulently obtained more than £40,000 in Universal Credit over five years by claiming she had no money whilst holding over £40,000 across two savings accounts.

Dubbed "Miss Holiday" by friends after sharing social media posts about trips to Tunisia, Cyprus, the Canary Islands and a Mediterranean cruise, Pearson avoided prison when sentenced in August last year.

Lyndsey Graham, 47, received Universal Credit for nearly two years despite having inherited £44,000, resulting in a 12-month community order and 80 hours of unpaid work last October.

A DWP spokesman said: "The Government inherited a broken system, but we now have stronger powers to go directly to banks and check what fraudsters are really sitting on as part of a commitment to save £14.6bn over the next five years.

"If you’re hiding savings to claim benefits you’re not entitled to, our message is simple – we will find out, stop the payments and recover money.

"We’re committed to tackling all types of fraud and error and have already reviewed over a million Universal Credit claims via our Targeted Case Review and stopped £1bn in incorrect payments."

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