London borough detects '8,000 fraudulent council tax claims'

Published by Ross Macmillan for 24dash.com in Housing and also in Local Government

A London borough has saved more than £2 million after it uncovered 8,000 incorrect claims for council tax discounts.

They were discovered when Croydon Council asked Northgate Public Services to check 84,000 claims for single person’s discount (SPD).

An initial review in 2009 found 5,120 incorrect claims from checks of 52,000 - saving the borough £1.3 million.

A second investigation in July 2011 revealed a further 2,853 incorrect claims after 32,000 claims were checked - resulting in a further saving of £800,000.

Croydon says the savings will be re-invested into front-line services for  residents.

Recent figures estimate that councils lose approximately £2 billion per year in fraudulent SPD claims.