Estimating fraud and error in the Scottish social security system: Consultation

3. Why further legislation was needed

Eligibility for some benefits is based on easily verified facts, like pregnancy or receipt of a low-income benefit. Others, such as disability or carer benefits, have more complex criteria such as- health impacts, daily living and mobility needs, or time spent caring. Initial applications and entitlement reviews depend on first-hand information from individuals, which can only be obtained by asking them directly.

While Social Security Scotland already gathers information to confirm entitlement, a statistically valid audit requires asking a small sample of clients for fresh information specifically for audit purposes, even if no change has been reported.

Previously, the existing powers within the 2018 Act allowed Social Security Scotland to request information in relation to determining entitlement, but did not allow Social Security Scotland to request information for audit purposes. The 2018 Act was then amended to give Ministers powers to require individuals to provide information in order to audit the social security system as a whole. The amendments support this targeted approach to audit activity - particularly to ensure that any requests for information are lawful, proportionate, consistent, and that appropriate safeguards are in place to protect individuals.