UK DWP introduces new powers to seize pensioners' bank accounts

From October, the Department for Work and Pensions (DWP) will be able to check savings and other income details of state pensioners and, where fraud or wrongful payments are suspected, make direct withdrawals from their bank accounts. The rules apply to those receiving Pension Credit and extend to Universal Credit and Employment and Support Allowance claimants. Under the new powers, banks must share account information with the DWP, enabling officials to recover debt and close a loophole that previously limited the department’s ability to pursue over‑payments. Work and Pensions Minister for Transformation Andrew Western said the measures ensure “hardworking taxpayers deserve a system that pursues those who deliberately dodge their debts”. Critics describe the powers as controversial “spy” powers aimed at benefit fraud.