A new government counter-fraud squad has begun investigating those accused of defrauding the public during the Covid pandemic.
The Public Authorities Fraud Investigation and Enforcement Service is using new powers to pursue suspects, including searching premises and seizing money directly from bank accounts if debts go unpaid.
The window for pursuing Covid fraudsters has doubled from six to twelve years, with all new powers coming into force this autumn.
Measures at the 2024 and 2025 Budgets are estimated to have protected £7.5 billion of public money from fraud over two years.
Chancellor Rachel Reeves said: “My message to those who owe the public purse money is clear – those who profited, will pay.”
Satvir Kaur, parliamentary secretary in the Cabinet Office, said the crackdown has helped save £7.5 billion and that the government will use every tool to protect public money.
“Those who chose to exploit a national crisis to line their own pockets now have nowhere left to hide.”
Nearly 2,000 company directors have been banned and 86 criminals prosecuted so far.
