David Laws

Liberal Democrats | Yeovil

LAWS – TAX CREDIT WASTE COSTING COUNTRY BILLIONS

David Laws, MP for Yeovil constituency, has today criticised the Government ahead of expected new figures into the level of tax credit fraud and error being released within the accounts of HM Revenue and Customs.

David Laws MP said:

‘The latest figures on tax credit fraud and error are likely to drive up the total cost of all benefits fraud and error to a new record high of £4 billion - this is some £166 for every British household each year. These figures could get even worse, as the trend in fraud for tax credits seems to have been strongly upwards.

“The tax credits department has neglected to give prevention of fraud and error a high priority, and now we are all paying the price.

“Instead of continuing to seek to cover up the problems with fraud and error, the Treasury should take the tough action needed to reduce the high costs to taxpayers.

“Tax credits were designed to help families on low incomes, but the appalling administration of the system threatens to undermine support and confidence for this flagship government scheme.”