Darling gives figure for probe costs
The cost of investigations into social security fraud to the financial institutions affected by new rules, will be the equivalent of an hour's profit, Alistair Darling has told MPs.
Tory MP Desmond Swayne pressed the social security secretary over the costs to business of complying with new rights given to investigators to have access to transactions with suspected benefit cheats.
Darling told him: ‘The vast majority of businesses will be unaffected because generally only the large companies – typically financial institutions ? will be asked to provide information. For one large bank the annual cost of providing the information is estimated to be equal to just over one hour’s profit.
‘What we are asking is not unreasonable. It is in the interest of banks and insurance companies that we stop fraud because people who defraud the DSS could also be interested in defrauding those financial institutions.’