Revealed: the £590k cost of Oldham cheats

FRAUD-busting councils across the North-West uncovered 23,300 incidents of deceit worth almost £18 million over the last year.

Across the country, £135 million was saved by detecting incidents including council tax fraud, benefit fraud and false insurance claims.

In Oldham, there were 293 incidents of council tax and housing benefit fraud (worth £364,803) detected as well as two cases of social services fraud (worth £24,799).

Along with other detected cases, which included expenses fraud, abuse of position and pensions fraud, the number of incidents totalled 633 (worth £590,009).

The Audit Commission’s latest national report on Protecting the Public Purse looks even deeper into the fraud menace draining money from cash-starved councils.

It puts the spotlight on cheats who are illegally sub-letting or occupying social housing, falsely claiming council tax discounts, or taking council jobs without the right to work in this country, often peddling false identities and bogus qualifications.

The report shows that, nationally, housing tenancy fraud is one of the most significant offences affecting the country’s economy.

Across the country, a total of 48,000 fraudulent council tax discounts claims were halted in 2009/10, giving £15 million back to the public purse.

Michael O’Higgins, chairman of the Audit Commission, said: “Preventing and detecting fraud has never been more vital.

“Every pound saved can be used to strengthen public services. Cheats must not be allowed to block legitimate tenants from social housing, or divert other resources away from those in need.

“Councils have already performed well in fighting fraud, but need to be more and more vigilant. New processes and systems often open up new opportunities for fraudsters.

“Service providers need to stay one step ahead.”