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To think this “crackdown” on benefit fraud is absolutely pathetic

540 replies

MissLou0 · 09/11/2023 00:34

We lose hundreds of billions from tax avoidance compared to 1 billion on benefit fraud and nothing is done about it, because those are the Tory donors. Michelle Mone just stole £28 million from taxpayers for her PPE scam, she’s not in trouble, and she of course also hides her hundreds of millions offshore.

We lose a small amount from benefit fraud, and as a result everyone who claims any sort of benefit including disability benefits banks are going to be monitored.

The graph below doesn’t even scratch the surface of how much is lost to tax avoidance. For example Rupert Murdoch is worth £17 billion and he hasn’t paid tax in years, personal tax or on his businesses. And he’s ONE person. These people are not targeted yet the most desperate and vulnerable are.

This is completely ignored by the media as the majority of newspaper owners are hiding their money offshore.

I’m in a situation where I don’t need to claim any benefits but I have family who are disabled who have had to fight for even the tiniest amount to live on, and they are now having to deal with this invasion of privacy which will make not even 0.000001% of what cracking down on tax avoidance would.

To think this “crackdown” on benefit fraud is absolutely pathetic
OP posts:
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14
WhoWants2Know · 09/11/2023 08:06

I think they will spend more trying to fight benefit fraud than they will recover from the few fraudulent claims they find.

bombastix · 09/11/2023 08:06

Maybe so, but you'll never eliminate the basis of why this happens, which that a lot of Conservatives don't like the welfare state. They hate it, so spend much time and energy trying to make it as difficult as possible to claim, and in cases of fraud, to them, it's worth it.

The system for receiving any public money was that the local well to do judged your circumstances for themselves and then maybe you got some money under the poor laws.

Munificent charity is more enjoyable for the well to do, irrespective of the human cost... see big society and the rise of the food bank, which is completely shameful in a country as well off as the UK.

Eggandcresssandwich · 09/11/2023 08:07

TodayInahurry · 09/11/2023 07:56

Difficult to change how the world has evolved. The super rich can live where they want as countries welcome them on special tax deals, like the non-doms Starmer hopes to tax to pay for everything. (It won’t).

They have property owned in offshore trusts and companies, how do you propose shutting those down, when they can be moved from, say Jersey to another tax haven in the flick of a button?

My friends employer has moved to Switzerland with his private jet because he, like others thinks Labour will target him.

Well if we just concern ourselves with the super rich based in or investing in the U.K., for starters you can change the law so that property purchased in the UK needs to have a transparent registered owner.

Zebedee55 · 09/11/2023 08:12

YomAsalYomBasal · 09/11/2023 07:13

The ballooning welfare bill is mainly due to old age pensions.

That didn't take long before pensioners got the blame lol

There is virtually no fraud, though, with pensions. Age dictates the eligibility.

Which is why the benefits being checked are "working age" benefits.🙄

MinnieL · 09/11/2023 08:13

CherryMyBrandy · 09/11/2023 03:42

But they aren't. Look at the stats. Actually benefit fraud is a tiny proportion of claimants. A SIGNIFICANTLY smaller proportion than under-claimed benefits. But these changes will affect ALL benefit claimants. I can tell you for a fact the system is already very fucking hard on poor and vulnerable people (I know that due to my job not because I claim benefits). This is only going to make that much harder. And it's all political. It's not actually going to change anything. They are doing this, at the expense of taxpayers (because this will cost money to implement) and at the expense of the most vulnerable TO WIN VOTES!

Real benefit fraudsters won't keep their money in the bank in their name. So this will achieve absolutely nothing. They are only doing it to look like they are doing something in the vain hope of getting some votes in the upcoming general election. Please don't be fooled.

1000%

HelloDaisy · 09/11/2023 08:14

WhyMeWhyNowWhyNot · 09/11/2023 03:00

@ConsuelaHammock its not illegal but it could be drastically cut/stopped if the government were so minded. But of course it’s their mates so they won’t 🤬.

Exactly this!

NeverDropYourMooncup · 09/11/2023 08:15

Even I can envisage the political and commercial advantages that can follow from using this as a way to trial AI monitoring of purchases and linking it with travel, interpersonal connections and online behaviour. Stick in a monitoring requirement for claimants to prove Internet job searching and you've developed enough integration with the data to be able to link it up with health insurance/refusals of cover and profitable areas, politics, personal ethics, and private thoughts.

Add in the ability to influence via algorithm as was done by Cambridge Analytica and the potential profit and control is boundless.

But they've got to start somewhere. Which as ever, is with benefit claimants.

FFSMabel · 09/11/2023 08:19

LimePi · 09/11/2023 06:59

@FFSMabel

amazon was paying living wage btw

Apologies to Amazon for forgetting to mention the NMW & NLW are the same starting from 1st April 2023 for all workers aged 23+. Below that age a NMW still applies.

That means a family of 5 (kids age 12m, 5 & 11y) with both parents working at amazon would be able to claim some universal credit based on parent 1 working 22h parent 2 working 40h. Baby in childcare 12h week.

The national living wage is not as much as you think. Nor is Amazon's amazing wage

A few figures.

Delivery driver rates start at £9.52ph doesn't mention age, could be s/e which is worse than waged at that rate.

Amazon warehouse operative base rate (23+) £11.00

NMW £10.42 (23+)

NLW £10.42 (23+)

From the Government website "In October, we recommended the NLW should increase by 9.7 per cent (92 pence) in April 2023 to £10.42."

AutumnCrow · 09/11/2023 08:20

Maybe the DWP and HMRC could collect the half a billion quid of child support that is owing in this country to (mostly) mothers.

But that would move money from (mostly) men to women and children, and isn't much of a priority. Easier to go after these low-paid women on UC who are caught in the tangled wires of structural inequalities while bringing up millions of children.

I think the stress differential is a new sex-based inequality. We're an odd country that let men walk away and live an easy life, leaving women and children to lives of stress, low wages, benefits, benefit investigations, insecure housing and societal criticism. As pp have said, all very mid-Victorian.

Startrekkeruniverse · 09/11/2023 08:21

marcopront · 09/11/2023 03:56

Is your argument because group A do something wrong we shouldn't find out if group B are doing something wrong?

Both should be dealt with.

I agree. Go after all of them, including the people claiming benefits just because they don’t want to work.

echt · 09/11/2023 08:23

It’s not a small invasion of privacy, it’s a breach of human rights applied to everyone who claims to catch the minority of people who claim fraudulently or who have made an honest mistake. How long before they then start deciding what people can spend the paltry sum they get in benefits?

This was brought in by the Australian Liberal (AKA vile Tory cunts) government for "certain" communities, i.e. Indigenous Australians, to limit what benefit recipients could spend their money on, i.e. NOT drugs, porn or alcohol

https://en.wikipedia.org/wiki/Cashless_Welfare_Card#:~:text=The%20Cashless%20Welfare%20Card%2C%20also,responsible%20behaviour%22%20by%20not%20allowing

Can't find the link but remember the hoo-ha when it was later suggested that this be extended to all benefit recipients, i.e state pensioners.

The cashless card was abolished by the Labor government in 2023.

The point of all this is it can be done, and this particular scrutiny of those on benefits is the thin end of the wedge.

Cashless Welfare Card - Wikipedia

https://en.wikipedia.org/wiki/Cashless_Welfare_Card#:~:text=The%20Cashless%20Welfare%20Card%2C%20also,responsible%20behaviour%22%20by%20not%20allowing

FFSMabel · 09/11/2023 08:25

Startrekkeruniverse · 09/11/2023 08:21

I agree. Go after all of them, including the people claiming benefits just because they don’t want to work.

Fotally agree; noone should be defrauding benefitd or evading tax for financial gain.

ememem84 · 09/11/2023 08:26

TodayInahurry · 09/11/2023 07:56

Difficult to change how the world has evolved. The super rich can live where they want as countries welcome them on special tax deals, like the non-doms Starmer hopes to tax to pay for everything. (It won’t).

They have property owned in offshore trusts and companies, how do you propose shutting those down, when they can be moved from, say Jersey to another tax haven in the flick of a button?

My friends employer has moved to Switzerland with his private jet because he, like others thinks Labour will target him.

Its not that easy (anymore) to just come to jersey and set up companies and trusts. We are heavily regulated (contrary to popular belief). And taxes are paid here. But with ways to mitigate your exposure (as with the Uk).

high net worths coming here have to go through rigorous screening (more so since the Ukrainian war started). They have to have a certain level of income and a certain level of wealth. They have to prove that they’ll contribute x amount to the island on an annual basis. And they have to give up their Uk residence and domicile.

Aurasauras · 09/11/2023 08:28

“It’s not our fault that everyone is working 55 hour weeks, barely able to afford food and struggling to heat their homes! How dare you! It’s the fault of those lazy shiftless benefits scroungers!”

Do you think we distracted them lads? Let’s celebrate in the gentleman’s club. Stripclub later?

Ankerdam · 09/11/2023 08:31

Loubelle70 · 09/11/2023 05:30

@greyhairnomore
The government have worked hard to push onto people the rhetoric that 'you pay for benefit fraud ' ...its divide and conquer. Never mind how many in government are as crooked as they come.
Hate this rhetoric of Rat on a neighbour if you will. Putting people against people. Usually working class against working class.
I earn a good wage, i don't claim benefits...however, some people are struggling, this government and other governments will have you believe everyone is at it... neighbours have become curtain twitching watsons.. guessing who could be 'conning' the system...when really they should be looking at the very people who push the idea that that could be happening.

This directly feeds into @CherryMyBrandy comment: the economy is set up against almost everyone other than the uber rich who are just getting richer and richer off the backs of everyone else

Maybe it's because I work in an industry that is literally designed to manipulate people into losing money to benefit the already extremely wealthy, but it absolutely baffles me how the general population don't see what's happening and how going along with being pitched against each other in almost every aspect of our lives keeps the "powerful" in their position.

GettinChillyHereFFS · 09/11/2023 08:35

everyone who claims any sort of benefit including disability benefits banks are going to be monitored.

In what way? How are they going to do this?

CampsieGlamper · 09/11/2023 08:38

Interesting in the USA, child support is taken out of the absent father's pay via deduction through social security (tax code equiv) number. Don't pay - get a fine, don't pay- jail.
Money goes to the mother for the children.

Rosscameasdoody · 09/11/2023 08:39

YomAsalYomBasal · 09/11/2023 07:13

The ballooning welfare bill is mainly due to old age pensions.

And the poster has conveniently overlooked the fact that net recipients are not just benefit claimants - they are also anyone with children.

Oldsu · 09/11/2023 08:39

YomAsalYomBasal · 09/11/2023 07:13

The ballooning welfare bill is mainly due to old age pensions.

@YomAsalYomBasal yeah I wondered when some ignorant individual would mention pensioners, I take it you DO know that the State pension is paid from NI revenue not tax the NIF is in surplus to the tune of 60.5 Billion as of 31st March 2023. Income based benefits are paid through tax revenue, which is why as much as some Mumsnetters want to do away with my pension (which I pay tax on BTW) it wouldn't add a single farthing to the funds available for income based benefits or disability benefits

And actually its pensioners themselves who often lose out on tax payers help the uptake of pension credit is very low despite the government advertising it nearly everyday, also the its clear that a lot of pensioners are not claiming Attendance Allowance the benefit they can get for care needs.

NightNurrse · 09/11/2023 08:40

Tbf the levels of benefit fraud shot up during the pandemic when the usual (and perfectly adequate when properly implemented) checks on ID etc were suspended and claims went entirely online

Indeed it did.

I moved to a new flat in April of this year and universal credit rejected my housing element twice as they thought my tenancy was "contrived". I had to jump through hoops to have my benefit awarded and had to get my local MP involved in the end. I was told it was because they had seen record numbers of fake tenancies created during the pandemic with people fraudulently claiming thousands of pounds.

I managed to prove my tenancy was legitimate only when my first council tax bills came through so it's fortunate I had a small amount of savings to pay the rent until then.

As far as I'm concerned they can check what they like. Innocent people are already suffering because of fraudulent claimants.

Rosscameasdoody · 09/11/2023 08:42

Oldsu · 09/11/2023 08:39

@YomAsalYomBasal yeah I wondered when some ignorant individual would mention pensioners, I take it you DO know that the State pension is paid from NI revenue not tax the NIF is in surplus to the tune of 60.5 Billion as of 31st March 2023. Income based benefits are paid through tax revenue, which is why as much as some Mumsnetters want to do away with my pension (which I pay tax on BTW) it wouldn't add a single farthing to the funds available for income based benefits or disability benefits

And actually its pensioners themselves who often lose out on tax payers help the uptake of pension credit is very low despite the government advertising it nearly everyday, also the its clear that a lot of pensioners are not claiming Attendance Allowance the benefit they can get for care needs.

Not pensioner bashing at all, but state pension is legally defined asa benefit, and I think this is where the confusion arises.

Mydpisgrumpierthanyours · 09/11/2023 08:43

This is why companies should have to claim benefits. They are the ones allowed to pay little enough that people need benefits to allow them to live. All make legal by the introduction of tax credits

Outerlimit · 09/11/2023 08:45

ConsuelaHammock · 09/11/2023 02:52

Tax avoidance is not illegal. Do you mean tax evasion? Of course the rich will always find a way to hide their money. I don’t know what the answer is? It’s easier to go after a few million people who can’t afford to fight back than one who has millions if not billions at his /her disposal.

While you are technically correct. HMRC has for some years conflated the two to intimidate those without the best professional advice and even some who have it.

Aurasauras · 09/11/2023 08:46

Let’s not mention Liz truss losing the economy millions.
let’s not mention hs2 wasting billions
let’s not mention ppe scandals
let’s not mention billions lost to fraudulent business claims during Covid of which less than 5% has been recovered.

nope it’s DEFINITELY benefits claimants that are the problem.

caringcarer · 09/11/2023 08:47

Beautiful3 · 09/11/2023 07:10

I'd rather they ended subsidised food and drink for MPs. Tax payers are charged 17 million to subsidise MPs food. Please someone on here start a petition. Let's see how they like it, living like normal folk, paying for their own food.

Yes, this, while at the same time some kids can't get free school meals. The meals MP's get are decent quality and wine while we all know what school meals are like.