Fraud

(asked on 28th August 2026) - View Source

Question to the Cabinet Office:

To ask the Minister for the Cabinet Office, for what reason responsibility for the National Fraud Initiative has been transferred to the Secretary of State for Work and Pensions; and whether changes to legislation are required to facilitate that change.


Answered by
Mark Ferguson Portrait
Mark Ferguson
Parliamentary Secretary (Cabinet Office)
This question was answered on 23rd September 2026

The transfer of the Public Sector Fraud Authority (PSFA), and the National Fraud Initiative (NFI) - an exercise operated by the PSFA - to the Department for Work and Pensions (DWP) delivers on the Prime Minister’s commitment to create a stronger, more strategic centre of government, whereby functions of government become more aligned with departments better suited for their purpose.

As part of DWP, the PSFA will use its unique expertise and tools to tackle fraud and error, both in welfare and across the public sector, and deliver strong financial savings for the taxpayer - building on the £2.9 billion the NFI has delivered to date.

As per the standard process of a Machinery of Government change, officials are working to scope the requirements of the transfer in relation to the Local Audit and Accountability Act 2014, which is the legislation underpinning the NFI, and other legislation underpinning the work of the PSFA.

In particular under the Ministers of Crown Act 1975, a Transfer of Functions Order (TFO) may be made where there is legislation that requires amendment to ensure a relevant Minister taking over the functions, as well as any related powers, in that legislation can properly exercise them.

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