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Wednesday, October 12, 2005

Fraudsters can't beat Govt. incompetence

Fraud and error in the benefits system cost the taxpayer £3 billion a year - half of it due to mistakes by officials, according to a new report.

The report, by the influential House of Commons Public Accounts Committee, welcomed progress made by David Blunkett's Department for Work and Pensions in cutting unemployment benefit fraud by 38% since 1997-98, but said that the overall level of fraud and error had remained unchanged for the last three years.

It warned that plans to cut 30,000 staff as part of a Whitehall cost-saving exercise risked damaging morale and losing expertise needed to make an inroad into the massive fraud problem.

I love this story. The spin on the story is that fraud is costing the UK billions of pounds but the whitewash is that really, more than half of the £3 billion figure is actually due to incompetence.

This means that every fraudster and incorrect-form filler in the UK can't quite swindle or otherwise misappropriate a sum of money equal to that squandered and wasted by the officials who are supposed to be up to the job. Heh!

Useless management: £1.5 billion
Every scammer in the UK: £1.5 billion


Blogger Moni said...

You mean the U.S. govenment isn't the only one that's racked with incompetance and fraud? How you say?! It warms the cockles of my heart to know that the my goverment cared enought to by only the best. ie...a $700.00 hammer. :x I empathize McFox. ;)

A quick question, I haven't been in Europe in 10 years, I know that when I left Germany they were trying to push for a unified Europe...Europa they called it and Germany changed to the Euro dollar. I take it that the UK opposed this change in currency and unification then? Just curious. :)

1:13 AM  
Blogger McFox said...

Depends who you ask. If you speak to the population they would tell Europa and the Euro to go take a jump. If you speak to the Govt. then they are in favour but the time is not yet right.

Basically, the UK population got conned into joining the Europe thing in the Seventies by being told it was only a 'Common Market' but successive Governments have pushed towards the ultimate goal of a united Super-Europe with its own armed forces, etc.

1:31 PM  

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