The UK Department for Work and Pensions (DWP) has recently been empowered through the Public Authorities (Fraud, Error and Recovery) Act 2025 to perform bank account checks to combat benefit fraud. This legislation allows the DWP to request financial institutions to verify the bank account details of individuals claiming benefits, including their savings and spending behaviors. This move is aimed at ensuring that only those who are eligible receive support from the government.

With these new powers, the DWP can monitor aspects such as the amount of savings a claimant has, with a threshold set at £16,000 for those receiving Universal Credit, and also track how much time individuals spend abroad. For those on Pension Credit, the regulations stipulate that claimants must not be outside the country for more than four weeks, and any violations of these conditions could result in penalties or cessation of benefits.

The implications of this legislation could be significant for claimants. People may have to be more vigilant about their savings and travel patterns if they want to maintain their benefit eligibility. The DWP asserts that this crackdown on fraud is necessary to protect public funds, but it may also raise concerns over privacy and the extent of government surveillance of individuals' finances.