UK Inquiry Tracker

Government use of data analytics on error and fraud

Public Accounts Committee Open Inquiry

Opened: 17 Nov 2025 Parliament page

Government lost between £55bn-£81bn to fraud and error in 2023-24. There are central platforms for public bodies to use to detect error and fraud, and in the same year these generated around £400m of savings. Some have used data analytics to detect and prevent fraud and error for many years, … Read more Government lost between £55bn-£81bn to fraud and error in 2023-24. There are central platforms for public bodies to use to detect error and fraud, and in the same year these generated around £400m of savings. Some have used data analytics to detect and prevent fraud and error for many years, and a few are now trialling new technologies including artificial intelligence. The National Audit Office (NAO) found in July that the use of data analytics to tackle this issue have produced only modest savings compared to the amount which they could potentially achieve. It also found that the £6bn/yr which the Government Digital Service believes government could save in this way should be read with caution, due to the fact it does not account for the costs or effort needed to achieve it. The PAC found in 2023 that large gaps remained in government’s understanding of its exposure to the risks of fraud and corruption against government, while its 2021 report on fraud and error warned that government significantly increased taxpayer exposure to fraud and error by its twin decisions to drop basic fraud and error checks in paying out Covid-19 loans, and to support people and businesses that it had no prior relationship with. Proceeding from the NAO’s July report, the PAC will hear from senior government officials as it scrutinises how government can overcome barriers to using data analytics to save more of the taxpayer’s money. If you have evidence on these issues, please submit here by 23:59 on Thursday 18 December 2025. Please look at the requirements for written evidence submissions and note that the Committee cannot accept material as evidence that is published elsewhere. The Committee decides what information to publish and how. You can request anonymity or confidentiality when you send evidence, but it is for the Committee to say whether it will agree. It may treat submissions confidentially, even where you have not requested this. Please note that the Committee’s inquiry cannot assist with individual cases. If you need help with an individual problem you are having, you may wish to read the information on Parliament’s website about who you can contact with different issues. Show less

6 Recommendations

16 Conclusions

1 Report

1 Oral session

1 Letter

1 Event

Activity timeline 4 events

27 Mar
2026

Report published

75th Report - Government use of data analytics on error and fraud

16 Mar
2026

Correspondence

Letter from the Chief Executive of the Cabinet Office relating to Follow Up - Estimation of counter fraud outcomes following legislative ch…

15 Jan
2026

Oral evidence

Oral evidence session

15 Jan
2026

Formal meeting (oral evidence session) · The Grimond Room, Portcullis House

Committee event

Oral evidence sessions 1 session

15 Jan 2026

View on parliament.uk

Conrad Smewing · HM Treasury Emran Mian · Department for Levelling Up, Housing and Communities Mark Cheeseman OBE · Public Sector Fraud Authority

Reports 1 report · click to expand

Title	HC No.	Published	Items	Response
75th Report - Government use of data analytics on error and fraud	HC 891	27 Mar 2026	22	Overdue

Recommendations & Conclusions

4 results

2 Recommendation Accepted

75th Report - Government use of da…

Government’s digital and counter-fraud experts know what government needs to do to make fraud and...

Government’s digital and counter-fraud experts know what government needs to do to make fraud and error savings through data analytics, but do not have a robust plan to support public bodies to do so. There are several barriers preventing the … Read more

Government Response

GDS, PSFA and GFF will establish a co-led counter fraud data analytics action forum to agree, publish and deliver, an overarching plan that more effectively utilises data analytics to tackle fraud and error.

HM Treasury

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4 Recommendation Accepted

75th Report - Government use of da…

Government is not doing enough to promote the effective sharing of data, which is stopping...

Government is not doing enough to promote the effective sharing of data, which is stopping departments from maximising the savings they could make from data analytics. Government bodies have legal frameworks through which to share data, such as those established … Read more Government is not doing enough to promote the effective sharing of data, which is stopping departments from maximising the savings they could make from data analytics. Government bodies have legal frameworks through which to share data, such as those established by the Digital Economy Act 2017, but find it time-consuming and difficult to do in practice. The PSFA told us it is taking steps to make this process simpler and quicker. The PSFA also told us it is building a library of counter- fraud controls to encourage and enable better data sharing and to make it easier for government bodies to know what datasets and tools are already available. GDS said it was building a single data platform for use across government that will enable government bodies to find and use data assets. But government does not make full use of the other data- sharing tools available to it. For example, the National Fraud Initiative tool (NFI), which local authorities must use and through which they save millions of pounds by matching their own data with that of other local authorities, is not mandatory for central government. This means the NFI does not benefit from much of central governments data to help flag more potential fraud, and that central government itself does not realise some of the potential savings. recommendation a. The Public Sector Fraud Authority should write to the Committee within 6 months to explain its progress in developing a library of counter-fraud controls. It should also set out its steps to identify and address issues with data sharing through the Digital Economy Act, to make this process simpler and quicker. This communication should include an evaluation of how its work has enabled greater sharing of data and greater use of data analytics. 5 b. In the Treasury Minute response to this report the Department for Science, Innovation and Technology should set out further information on the single data platform. This should include the timetable for completion and be Show less

Government Response

The government will provide a progress update to the Committee in six months’ time, and will also include the ongoing actions to improve the process of data sharing through the powers enabled by the Digital Economy Act (DEA).

HM Treasury

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5 Recommendation Accepted

75th Report - Government use of da…

Departments are not doing enough to be transparent or build public trust on the use...

Departments are not doing enough to be transparent or build public trust on the use of data analytics to tackle fraud. In tackling fraud, government must balance maintaining public trust by being transparent about what it is doing, with not … Read more

Government Response

DSIT is continuing to implement the mandatory rollout of the Algorithmic Transparency Recording Standard (ATRS) in central government, with over 130 records published on GOV.UK to date.

HM Treasury

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6 Recommendation Accepted

75th Report - Government use of da…

Current legislation limits government’s ability to deploy data analytics to tackle fraud and error.

Current legislation limits government’s ability to deploy data analytics to tackle fraud and error. Some existing legislation, such as the Digital Economy Act, support the use of data analytics to fight fraud and error by enabling data sharing across departments. … Read more

Government Response

The PSFA and DSIT will review legislation and the regulatory regime impacting their ability to implement fraud and error data analytics and communicate its assessment to the Committee.

HM Treasury

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Government Response AI assessment · 6 of 6 classified

Accepted 4

Accepted in Part 1

Rejected 1

Total 6 recs + 16 conclusions

Correspondence 1 letter

16 Mar 2026 To committee Letter from the Chief Executive of the Cabinet Office relating to Follow Up - Estimation of counter fraud outcomes following legislative changes, 12 March 2026

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