The Department for Work and Pensions has issued its first Eligibility Verification Notice, requiring banks to share information so the department can check benefit entitlement, it announced on 26 October 2026. The measure, introduced under the Public Authorities (Fraud, Error and Recovery) Act 2025, is expected to save £1.2 billion by 2030/31 by helping identify claimants with undeclared savings or time spent abroad beyond benefit rules.

The department said the powers do not give it access to bank accounts, transactions or spending habits. Banks are asked only to check relevant benefit-receiving accounts against certain eligibility rules and flag cases needing further enquiry; a flag alone does not indicate fraud, and no entitlement decision can rest on this information alone. Notices may be issued only for Universal Credit, Pension Credit and Employment and Support Allowance. The measure begins with a test-and-learn phase under independent oversight.

A wider package due at the Budget is expected to save a further £1.4 billion between 2027 and 2032, including 2,000 additional anti-fraud specialists in Jobcentres. The department estimates undeclared savings and time abroad in Universal Credit and Pension Credit cost £1.5 billion in 2025-26 alone.