UK Department for Work and Pensions Launches Bank Verification Measure

The Department for Work and Pensions has introduced the Eligibility Verification Measure (EVM) to identify potential fraud and error among claimants of Universal Credit, Pension Credit, and Employment and Support Allowance. Operating under the Public Authorities (Fraud, Error and Recovery) Act 2025, the agency can now issue Eligibility Verification Notices that require banks to flag accounts based on specific criteria.

Primary red flags include savings that exceed benefit limits, capital between £6,000 and £16,000 that may reduce Universal Credit payments, and evidence of extended time spent outside the United Kingdom. The government will not publish the exact indicators used to prevent individuals from circumventing the fraud detection system.

The agency stated that being flagged does not automatically result in the cessation of benefits, as further checks are required to determine entitlement. The measure does not grant the department unrestricted access to bank accounts, and financial institutions are prohibited from providing sensitive personal information or specific transaction histories.