New parents are being warned that they could face conviction for benefit fraud if they fail to report significant changes in their circumstances. The Department for Work and Pensions (DWP) has issued guidance stating that expecting parents must inform them of the birth of a child as it could affect their eligibility for benefits and the amount they could receive.
Failure to do so could result in overpayment of benefits, leading to a requirement to repay the excess and a flat penalty of £50. More seriously, if the DWP suspects intentional non-disclosure, it could lead to prosecution for benefit fraud.
During an investigation, all benefit payments may be halted, and Fraud Investigation Officers may visit the claimant. An ‘interview under caution’ may also be conducted.
If found guilty of benefit fraud, the individual could face a court-imposed fine of up to £5,000, repayment of any money owed, and a reduction or cessation of benefits for up to three years.
All the changes that need to be reported to the DWP
The Department for Work and Pensions (DWP) has outlined a list of changes that must be reported as they could impact your benefits. These include:
- moving house
- the death of your partner or someone you live with
- getting married or divorced
- changes to your immigration status, if you’re not a British citizen
- starting or ending a civil partnership
- any changes to your medical condition or disability
- planning to go abroad for any length of time
- changes to your pension, savings, investments or property
- finding or finishing a job, or working different hours
- changing your doctor
- having a baby
- people moving into or out of the place you live (for example your partner, a child or lodger)
- changing your name or gender
- you or your partner getting back-pay (sometimes called ‘arrears’) for salary or earnings you’re owed
- starting or stopping education, training or an apprenticeship
- changes to the benefits you or anyone else in your house gets
- starting or stopping caring for someone
- changes to other money you get (for example student loans or grants, sick pay or money you get from a charity)
- your income going up or down
- going into hospital, a care home or sheltered accommodation
Exceptions to benefit fraud punishments for parents
In cases of benefit fraud convictions, parents may face reduced or stopped benefits, but certain payments cannot be stopped or reduced.
This includes:
- Maternity Allowance
- Statutory Adoption Pay
- Statutory Paternity Pay
- Statutory Maternity Pay
Full details on the benefits and payments that are subjected to benefit fraud punishments can be found here.
